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How Does the Blockchain’s Transaction Finality Affect the Settlement Process?

Blockchain transaction finality, the point at which a transaction is confirmed and irreversible, provides certainty for the physical settlement of crypto options. Once the underlying cryptocurrency transfer is finalized on the blockchain, the settlement is complete and guaranteed.

This certainty is a key advantage for physically settled crypto derivatives.

What Is the Concept of “Finality” in a Blockchain and How Does It Relate to Confirmation Speed?
How Does Network Congestion Affect Confirmation Time and Double-Spend Risk?
How Does a Central Clearing Counterparty (CCP) Mitigate Settlement Risk?
Define ‘Settlement Finality’ in a Financial Context