What is Special Purpose Ledger?

A Special Purpose Ledger is a type of distributed ledger technology (DLT) that is designed and optimized for a specific use case or industry. Unlike general-purpose ledgers (like Bitcoin or Ethereum) which are designed to handle a wide range of transactions and applications, special-purpose ledgers focus on providing a more efficient and tailored solution for particular needs. For example, a special-purpose ledger could be built specifically for supply chain management, healthcare records, or identity management. This allows the ledger to be optimized for specific data structures, transaction types, and security requirements. These ledgers often prioritize features like enhanced privacy, compliance, and integration with existing systems relevant to their intended application.