# Real Time Gross Settlement
Real time gross settlements (RTGS) systems are a type of database technology that domestic settlement and clearing systems are based on. RTGS systems are responsible for batching financial transactions between [bank](bank.md) or other financial institutions and netting out transactions between parties so that payments can be settled on a periodic or real-time basis.

## References
1. Roche, Cullen O. 2011. ‘Understanding the Modern Monetary System’. http://ssrn.com/paper=1905625.