DLT is a shared, synchronized database that is distributed digitally across a system of multiple participants. Typically, new information is added to the ledger only once consensus is reached, at which point it is time-stamped and given a unique cryptographic signature. When all participants share a single view of the record, it provides a verifiable and auditable history of the information stored, which is why DLT is useful for transactions. By providing a single source of truth, DLTs can eliminate the need for an intermediary or central authority to process, validate, or authenticate transactions. That said, DLTs are not inherently decentralized, nor do they necessarily employ blockchains.