What is DLT and why is it important?

DLT stands for Distributed Ledger Technology. When combined with an objective consensus mechanism like Proof-of-Work, distributed ledgers, such as Bitcoin, are important because they enable decentralised networks to agree on a shared source of truth. The ability of mutually distrusting participants to nevertheless agree on a shared source of truth enables peer-to-peer value transfer, execution of code and settlement of contracts independently of any third party.