Shared Ledger System

Definition ∞ A shared ledger system is a distributed database that maintains an identical, synchronized record of transactions across multiple participants. All parties in the network possess an identical copy of the ledger, which is updated and validated through a consensus mechanism. This technology, exemplified by blockchain, provides transparency, immutability, and reduces the need for intermediaries. It forms the foundation of many digital asset ecosystems.
Context ∞ Shared ledger systems are central to discussions about the future of finance and supply chain management, offering solutions for enhanced data integrity and operational efficiency. News often reports on various consortia and industry groups implementing distributed ledger technologies for inter-organizational data exchange. The challenges involve achieving interoperability between different ledger systems and establishing common governance models among diverse participants.