DLT (Distributed Ledger Technology) is a broader category of technology in which data is stored across multiple locations (nodes) without a central administrator. Blockchain is the most well-known type of DLT, but not all DLTs are blockchains.
How DLT Differs from Blockchain
All blockchains are DLTs, but not all DLTs use a chain of blocks. Some DLTs use alternative structures like Directed Acyclic Graphs (DAGs) — used by IOTA and Hedera Hashgraph — or other consensus-based distributed databases.
Key Properties
Distributed: Copies of the ledger exist across multiple nodes.
Synchronized: All copies are kept in agreement through consensus.
Append-Only: New data can be added but existing data cannot be modified.
Cryptographic: Data integrity is guaranteed by cryptographic techniques.
Applications Beyond Crypto
DLT is used in supply chain management, healthcare records, identity verification, trade finance, and government services. Central banks exploring CBDCs typically use DLT infrastructure.