Distributed Ledger Technology (DLT) is a decentralized digital system for recording, sharing, and synchronizing transactions across multiple nodes (participants) without a central authority. While often used interchangeably with blockchain, DLT is the broader, foundational technology, whereas blockchain is a specific type of DLT that organizes data into sequential “blocks”.

Is DLT Just Another Term for Blockchain?

Not exactly. All blockchains are distributed ledgers, but not all distributed ledgers are blockchains.

Example of non blockchain DLT

Directed Acyclic Graphs (DAGs) or Hashgraph, which can offer faster transaction speeds or different validation methods than traditional blockchains are few examples of DLT’s which are NOT blockchain based.

What are Characteristics of a DLT?

• Decentralization: Data is stored across multiple, equally empowered nodes, eliminating a single point of failure.
• Consensus Mechanism: Participants (nodes) must agree on the validity of new data, preventing fraud (e.g., double-spending).
• Immutability: Once recorded, transactions are generally immutable (cannot be altered).
• Transparency/Security: Uses cryptographic techniques to ensure data integrity. 

Where DLT is Used ?

DLT has various use cases , some of them can be :

• Finance & Banking: Clearing, settlement, and cross-border payments.
• Supply Chain: Tracking product provenance and ownership.
• Digital Identity: Secure, auditable sharing of identification data.
• Healthcare: Secure management of patient records and clinical trials.