Django Channels is an extension for the Django web framework that enables handling of asynchronous protocols, such as WebSockets. This allows developers to build real-time applications, like chat systems or live notifications, by enabling two-way communication between the server and clients. With Django Channels, developers can manage multiple connections and background tasks more efficiently. It integrates seamlessly with the existing Django architecture, allowing for the use of familiar tools and patterns while expanding the capabilities of web applications beyond traditional HTTP requests.