MSDTC is short for the Microsoft Distributed Transaction Coordinator. It is a Windows Sevice that SQL Server and other applications rely on when a transaction spans across multiple machines.

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AlwaysOn AG, DTC with failover

Problem: How can I run Distributed Transaction Coordinator (DTC) on all servers in an AlwaysOn Availability Group (AG)? I do NOT need to maintain transactions over failover/switchover events. Setup: ...
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Secondary Clustered DTC will not work when Primary goes offline - SQL Server Issues

I've been working on setting up clustered environment with a two new DTC roles, DTC1 and DTC2. I set up DTC1 which allows both clustered VM's and SQL Server Instances to function correctly. However, ...