What is DLT (Distributed Ledger Technology)?
It refers to the distributed ledger system, where the data is divided into parts and encrypted and stored in decentralized networks. In this system, activities such as the execution, approval, and authorization of works cannot be supervised by a central authority. Network participants approve transactions on a decentralized network, and the verified data is encrypted and stored. The presence of data across multiple networks forms the basis of distributed ledger technology. In this article, you can find the answer to the question of what DLT is.
What is DLT (Distributed Ledger Technology)?
Distributed ledger technology is the storage of fragmented data on multiple networks in an encrypted form. With distributed ledger technology, data is distributed over multiple networks instead of a central server. Users with access to distributed networks can access and approve this data. In distributed ledger technology, access, validation and all updates of data take place by consensus created by network users.
How Does DLT (Distributed Ledger Technology) Work?
In the distributed ledger system, data is divided into parts. Each network is stored on the servers of users who are network participants. Access, validation and updating of this data are performed by network users. Data in the distributed ledger is encrypted and stored. Users can access this data with the key code.
Bitcoin was the first cryptocurrency to use distributed ledger technology. The Bitcoin blockchain is the first functional use of distributed ledger technology.
What are the Advantages of DLT?
In distributed ledger technology, the data is not in a single center and is kept in all nodes in the network keeping strong the defense power against cyber-attacks. To implement a cyberattack against this technology, it is necessary to attack all distributed copies of ledgers.
In distributed ledger technology, users do not need intermediary institutions in their transactions. They can perform transactions at any time, quickly and safely. After their transactions are approved, they are processed on the blockchain. Transactions cannot be changed and cannot be kept under control.
