#SEBI

23 articles tagged #SEBI — curated RWA tokenization coverage.

#India #Demat2.0 #CBDC #CorporateBonds #TokenizedBonds #DLT #Tokenization #RBI #REC #BondTokenization

India’s tokenized bond pilot starts with institutions, with retail access planned next

The Securities and Exchange Board of India (SEBI) has launched a pilot program titled Demat 2.0 to facilitate the issuance and settlement of corporate bonds on a private, permissioned distributed ledger. The initiative successfully processed ₹1,025 crore across three initial issuances from REC Limited, L&T Limited, and IIFL. By utilizing the Reserve Bank of India’s wholesale digital rupee, the system achieves atomic delivery-versus-payment, ensuring that the bond transfer and cash settlement occur simultaneously. This synchronization eliminates settlement risk by removing the time gap between fund transfer and security delivery. While the bonds exist as native digital tokens, they retain their original ISIN identifiers, legal covenants, and regulatory status, ensuring continuity for market participants. The infrastructure is managed by India’s depositories and stock exchanges, which maintain the authoritative records of ownership and handle private key management on behalf of investors. This pilot represents a significant step toward modernizing India's debt markets by integrating central bank digital currency with institutional-grade blockchain rails. Future stages of the project aim to expand the system to include secondary market trading and retail investor participation.

#CorporateBonds #CBDC #India

cryptorank.io·Sep 18, 20268.5

Infrastructure

Indian firms issue 10.25 billion rupees of tokenised bonds in regulator’s pilot scheme

Three Indian financial service providers have successfully issued 10.25 billion rupees, equivalent to approximately US$103 million, in tokenised corporate bonds as part of a pilot program overseen by the Securities and Exchange Board of India (Sebi). Known as Demat 2.0, this initiative utilizes distributed ledger technology to manage the issuance, holding, and settlement of these digital assets. A critical feature of the program is its integration with the Reserve Bank of India’s wholesale central bank digital currency, which enables simultaneous delivery-versus-payment settlement. By leveraging smart contracts, the system automates interest and redemption payments while significantly reducing transaction times from several days to same-day settlement. This shift is expected to lower administrative costs and reconciliation burdens for market participants while maintaining existing regulatory standards for credit ratings and investor protections. Sebi plans to expand the pilot in future phases to include secondary market trading via request-for-quote platforms and eventually open participation to retail investors. This development marks a significant step in the modernization of India's capital markets through blockchain-based infrastructure.

#TokenisedBonds #CBDC #India

asiaasset.com·Sep 17, 20268.0

Infrastructure

Sebi’s Demat 2.0 lays groundwork for tokenising more regulated financial assets

The Securities and Exchange Board of India (SEBI) has launched the 'Demat 2.0' pilot program to test distributed ledger technology (DLT) as a foundational layer for the corporate bond market. By integrating tokenized securities with the Reserve Bank of India’s wholesale digital rupee, the initiative enables atomic Delivery-versus-Payment (DvP) settlement, effectively eliminating the time gap between security transfer and cash payment. The pilot maintains the existing legal framework of corporate bonds, including ISINs and investor rights, while utilizing private, permissioned DLT networks operated by depositories. This infrastructure shift allows for the automation of corporate actions like coupon payments and redemptions through smart contracts. Although the current pilot is limited to a ₹1,025 crore scope, it serves as a critical proof-of-concept for the broader tokenization of regulated financial assets in India. Industry experts view this as a strategic application of India's Digital Public Infrastructure playbook to modernize capital markets. The success of this initiative will ultimately depend on the development of secondary-market liquidity and the eventual expansion to retail participation.

#CorporateBonds #DLT #CBDC

businesstoday.in·Sep 15, 20268.5

Infrastructure

IIFL Finance Becomes First Non-PSU NBFC to Execute ₹25 Crores Tokenised Bond Transaction

IIFL Finance has become the first non-PSU Non-Banking Financial Company in India to execute a ₹25 crore tokenized bond transaction. The deal was conducted under the Securities and Exchange Board of India's Regulatory Sandbox framework, utilizing the Metropolitan Stock Exchange of India as the bidding platform. Trust Investment Advisors Private Limited served as the sole arranger and advisor for the issuance, which is slated for listing on the National Stock Exchange of India. This milestone aligns with a broader national initiative to integrate blockchain and distributed ledger technology into the country's debt capital markets. The transaction follows a joint pilot launch by the Reserve Bank of India and SEBI at the Global Fintech Fest 2026, which aims to combine DLT with central bank digital currency for instantaneous settlement. By adopting this technology, IIFL Finance seeks to enhance the efficiency, transparency, and speed of its capital market operations. This development signals a significant shift toward digitizing financial infrastructure within the Indian corporate bond sector.

#TokenizedBonds #DLT #India

m.thewire.in·Sep 15, 20268.0

Infrastructure

SEBI launches Demat 2.0 to bring tokenised corporate bonds to investors | Demat 2.0 phase focuses on bond issuances | Inshorts

The Securities and Exchange Board of India (SEBI) has officially launched 'Demat 2.0', a strategic initiative designed to modernize the Indian debt market by introducing tokenized corporate bonds. This phase specifically targets the streamlining of bond issuances, aiming to enhance transparency, reduce settlement times, and increase accessibility for retail and institutional investors. By leveraging distributed ledger technology, SEBI intends to eliminate traditional inefficiencies associated with paper-based or legacy electronic bond management systems. This move represents a significant regulatory endorsement of blockchain-based securities in one of the world's largest emerging markets. The integration of tokenization into the national dematerialization framework signals a shift toward programmable finance for corporate debt instruments. As India moves to digitize its capital markets, this framework provides a scalable foundation for future asset classes to be issued on-chain. The initiative is expected to lower entry barriers for investors while providing issuers with a more efficient mechanism for capital raising.

#Tokenization #CorporateBonds #India

inshorts.com·Sep 14, 20268.0

Infrastructure

India launches bond tokenisation pilot

The Securities and Exchange Board of India (SEBI) and the Reserve Bank of India (RBI) have officially launched a bond tokenisation pilot program titled Demat 2.0. This initiative aims to leverage distributed ledger technology to achieve near-instant settlement and mitigate systemic settlement risks within the Indian financial markets. The pilot involves key infrastructure participants including the Central Depository Services, National Securities Depositories, and major financial institutions such as HDFC and ICICI. By integrating security and settlement processes, the project seeks to automate complex asset servicing tasks that currently rely on legacy systems. This move represents a significant evolution from the original Demat 1.0 framework, which digitized paper-based shareholdings starting in 1996. SEBI chairman Tuhin Kanta Pandey indicated that the scope of this tokenization effort is intended to expand beyond bonds to include equities, gold, and mutual funds. The successful implementation of this pilot could serve as a blueprint for other emerging markets looking to modernize their national financial infrastructure through blockchain integration.

#RBI #India #SEBI

fundsglobalasia.com·Sep 14, 20268.5

Infrastructure

What does SEBI’s tokenised bonds mean for investors

The Securities and Exchange Board of India (SEBI) has launched a pilot program titled Demat 2.0 to modernize the settlement and ownership recording of corporate bonds. By utilizing a private digital network, the initiative represents bond ownership as digital tokens rather than traditional database entries, aiming to streamline administrative processes. A critical component of this pilot is the integration of the Reserve Bank of India’s digital rupee (e₹) to facilitate atomic settlement, ensuring that bond transfers and payments occur simultaneously. This mechanism significantly reduces counterparty risk by eliminating the gap between delivery and payment. While the underlying investment characteristics such as credit ratings and maturity remain unchanged, the system enables automated corporate actions like coupon payments and redemptions. Currently, the pilot excludes retail investors, focusing instead on institutional testing before expanding to secondary market trading. This development marks a significant shift toward blockchain-based infrastructure in the Indian financial sector, prioritizing operational efficiency and reduced manual intervention.

#CorporateBonds #CBDC #India

newindianexpress.com·Sep 14, 20267.5

Infrastructure

India Tokenizes Corporate Bonds with Digital Rupee in Demat 2.0

The Securities and Exchange Board of India (SEBI) has launched the Demat 2.0 pilot, a significant initiative to tokenize corporate bonds and settle transactions using the Reserve Bank of India's wholesale digital rupee. This program utilizes a distributed ledger within a regulated framework to enable atomic delivery versus payment, effectively reducing settlement risk and manual reconciliation requirements. Three major issuers—REC, Larsen & Toubro, and IIFL Finance—have collectively issued ₹1,025 crore in tokenized bonds during the initial phase. By integrating smart contracts for automated interest payments and redemptions, the pilot aims to modernize India's financial infrastructure while maintaining strict regulatory oversight. Unlike open-market crypto initiatives, this project keeps assets within a permissioned environment involving key institutions like CDSL, NSDL, and major banks. The success of this pilot could pave the way for tokenizing other asset classes, including equities and mutual funds, within the Indian market. This development highlights a global trend where central banks and regulators explore blockchain-based efficiency without sacrificing control or security.

#CorporateBonds #CBDC #India

altcoinbuzz.io·Sep 11, 20268.5

Infrastructure

REC Limited successfully issues India’s first Pilot Issue on Tokenized Corporate Bonds under SEBI regulatory Sandbox Framework

REC Limited has successfully executed India's first pilot issuance of tokenized corporate bonds under the Securities and Exchange Board of India (SEBI) regulatory sandbox framework. This initiative, branded as Demat 2.0, utilizes a permissioned distributed ledger to record and track securities ownership, marking a significant shift in the nation's debt market infrastructure. By integrating atomic Delivery-versus-Payment (DvP) settlement and CBDC-enabled transactions, the pilot aims to eliminate traditional settlement risks and operational friction. The project maintains existing investor protections and institutional compliance standards while leveraging digital ledger technology to enhance market efficiency. This milestone represents a strategic move by Indian regulators to modernize capital markets through technology-driven reforms. The successful pilot demonstrates the viability of blockchain-based debt issuance within a controlled regulatory environment. Such advancements are critical for the RWA market as they provide a blueprint for scaling tokenized financial instruments in emerging economies.

#TokenizedBonds #India #SEBI

aninews.in·Sep 11, 20268.5

Infrastructure

Sebi Launches Corporate Bonds Tokenisation; NPCI Unveils UPI

The Securities and Exchange Board of India (SEBI) has officially introduced a framework for the tokenization of corporate bonds to enhance market transparency and accessibility. By leveraging blockchain technology, this initiative aims to streamline the settlement process and reduce the operational complexities traditionally associated with debt securities. The move is part of a broader effort by Indian regulators to modernize the financial infrastructure and encourage retail participation in the corporate bond market. Simultaneously, the National Payments Corporation of India (NPCI) has unveiled new UPI-based features to facilitate seamless digital transactions, further integrating traditional banking with modern payment rails. These developments represent a significant shift toward digitizing high-value financial instruments within the Indian economy. The integration of tokenization is expected to lower entry barriers for investors while providing issuers with more efficient capital-raising mechanisms. As India continues to digitize its capital markets, these dual initiatives serve as a foundational step toward a more robust and liquid RWA ecosystem.

#Tokenization #CorporateBonds #Infrastructure

money.rediff.com·Sep 10, 20268.0

Infrastructure

SEBI Advances Tokenised Bonds and AI Supervision as Pandey Calls for Stronger Tech Governance

The Securities and Exchange Board of India (SEBI) is actively advancing the modernization of capital markets through the integration of AI-driven supervision and the pilot of tokenized corporate bonds. In collaboration with the Reserve Bank of India, SEBI has launched the Demat 2.0 project, which utilizes tokenized securities settled via central bank digital currency (CBDC) and smart contracts. Three issuers have already successfully issued tokenized corporate bonds under this framework, signaling a shift toward faster settlement and automated asset servicing. SEBI Chairman Tuhin Kanta Pandey emphasized that while financial institutions are encouraged to innovate, they retain full regulatory accountability for their technology vendors and AI systems. By adopting the IOSCO AI supervisory toolkit, the regulator aims to enhance predictive market monitoring and identify systemic risks more efficiently. This dual focus on technological adoption and strict governance is intended to bolster market integrity as India’s financial sector scales its digital infrastructure. These developments are critical for the RWA market as they demonstrate a sovereign-level commitment to integrating blockchain-based settlement with traditional corporate debt instruments.

#TokenizedBonds #CBDC #India

niftytrader.in·Sep 10, 20268.5

Infrastructure

RBI, Sebi launch India’s first tokenised corporate bond pilot

The Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) have officially launched India’s first pilot program for tokenized corporate bonds. Unveiled at the Global Fintech Fest 2026 by RBI Governor Sanjay Malhotra and SEBI Chairman Tuhin Kanta Pandey, the initiative integrates Central Bank Digital Currency (CBDC) with blockchain technology to streamline securities settlement. This pilot represents a strategic shift toward modernizing India's financial infrastructure by replacing traditional settlement processes with programmable digital assets. While the initial focus is restricted to corporate bonds, the framework is designed to be scalable, with plans to eventually incorporate equities, mutual funds, and electronic gold receipts. The project underscores the Indian government's commitment to leveraging public-private partnerships to enhance financial inclusion and efficiency. By utilizing CBDC for settlement, the regulators aim to reduce friction and increase transparency in the domestic capital markets. This development signals a major institutional endorsement of blockchain technology as a foundational layer for the future of Indian financial services.

#TokenizedBonds #CBDC #RBI

telanganatoday.com·Sep 10, 20269.0

Infrastructure

SEBI launches tokenised corporate bond pilot under Demat 2.0, three issuers already testing the system

The Securities and Exchange Board of India (SEBI) has initiated a pilot program for tokenized corporate bonds under its 'Demat 2.0' framework. This initiative aims to modernize the settlement and issuance process for debt securities by leveraging blockchain-based tokenization to enhance transparency and efficiency. Three issuers are currently participating in the testing phase to evaluate the system's operational viability within the Indian financial market. By moving toward a tokenized infrastructure, SEBI seeks to reduce settlement cycles and minimize the administrative overhead associated with traditional dematerialized securities. This development represents a significant regulatory push toward integrating distributed ledger technology into mainstream capital markets. The pilot serves as a critical step in digitizing the lifecycle of corporate debt, potentially setting a precedent for broader asset tokenization in India. Successful implementation could lead to increased liquidity and broader investor access to corporate bond markets.

#Tokenization #CorporateBonds #India

moneycontrol.com·Sep 10, 20268.0

Infrastructure

SEBI's Tech-Driven Push for Bond Tokenisation and Financial Inclusion

The Securities and Exchange Board of India (SEBI) is actively pursuing the integration of bond tokenization to modernize the nation's financial infrastructure and improve product distribution. During the Global Fintech Fest 2026 in Mumbai, SEBI Executive Director Manoj Kumar highlighted that converting traditional bonds into digital tokens is a core component of the regulator's broader technological strategy. By digitizing asset ownership, SEBI aims to simplify the issuance and transfer processes, thereby reducing friction in the bond market. This initiative is specifically designed to leverage the high technological engagement of India's younger demographic to drive greater financial inclusion. The regulator is maintaining a participative approach, engaging in ongoing dialogues with industry stakeholders to refine the framework for these digital assets. This move signals a significant regulatory shift toward embracing blockchain-based solutions for sovereign and corporate debt management. Ultimately, SEBI's focus on tokenization reflects a growing global trend among major regulators to utilize distributed ledger technology to enhance market efficiency and accessibility.

#DigitalAssets #FinancialInclusion #India

devdiscourse.com·Sep 9, 20267.5

Infrastructure

REC Issues ₹500 Cr Through Tokenised Corporate Bonds, 8x Oversubscribed

REC Ltd, a Maharatna company under India's Ministry of Power, has successfully executed India's first pilot issuance of tokenized corporate bonds. The ₹500 crore issuance, conducted under the Securities and Exchange Board of India’s (SEBI) regulatory sandbox, achieved an 8x oversubscription with total bids reaching ₹796 crore. By utilizing a permissioned distributed ledger under the Demat 2.0 initiative, the process enabled atomic Delivery-versus-Payment (DvP) settlement. This technological shift allowed for the pay-in, allotment, and listing of the bonds to occur within a single day. The bonds carry a coupon rate of 7.30% per annum with a tenor of one year and nine months and are listed on both the NSE and BSE. This milestone demonstrates the integration of distributed ledger technology with existing regulatory frameworks to reduce settlement risks and operational friction. The success of this pilot signals a significant evolution in Indian debt markets, highlighting the potential for digital infrastructure to enhance market efficiency and transparency.

#TokenizedBonds #India #SEBI

outlookbusiness.com·Sep 7, 20268.5

Infrastructure

REC Limited: Issues India’s First Tokenized Corporate Bonds

REC Limited has successfully executed India's first pilot issuance of tokenized corporate bonds under the Securities and Exchange Board of India (SEBI) Regulatory Sandbox Framework. The issuance, valued at ₹500 Crore, attracted significant market demand with a total book build of ₹796 Crore, representing an 8x oversubscription. These bonds carry a coupon rate of 7.30% per annum with a tenor of one year and nine months. By utilizing distributed ledger technology and atomic Delivery-versus-Payment (DvP) settlement, the pilot achieved same-day pay-in, allotment, and listing on the NSE and BSE. This initiative, part of the broader Demat 2.0 project, demonstrates the potential for shared-ledger transparency to reduce settlement risks and operational friction in capital markets. The project involved close collaboration between SEBI, the Reserve Bank of India, and various market infrastructure institutions. This milestone marks a transformative shift toward modernized, digital-first debt market infrastructure in India while maintaining strict regulatory compliance.

#TokenizedBonds #India #SEBI

investywise.com·Sep 7, 20268.0

Infrastructure

Why tokenized bonds could reshape India's capital markets

Tokenization of bonds in India is emerging as a transformative force for the nation's capital markets by enhancing liquidity and accessibility for retail investors. By leveraging blockchain technology, issuers can reduce the high costs and administrative burdens traditionally associated with bond issuance and settlement. The transition from manual, paper-based processes to digital ledger systems allows for fractional ownership, enabling smaller investors to participate in debt markets previously reserved for institutions. This shift is expected to streamline the lifecycle management of securities, from issuance to coupon payments and maturity. Regulatory bodies like the Securities and Exchange Board of India (SEBI) are increasingly exploring frameworks to support these digital innovations while maintaining investor protection. As India's bond market continues to expand, tokenization offers a scalable solution to improve transparency and operational efficiency across the financial ecosystem. Ultimately, the adoption of tokenized bonds could democratize investment opportunities and foster a more robust, technology-driven financial infrastructure in the region.

#Blockchain #TokenizedBonds #CapitalMarkets

zeebiz.com·Sep 7, 20267.5

U.S. Treasuries

Tokenisation of corporate bonds: A new chapter for India’s debt market

India is set to launch its inaugural tokenized corporate bond issuance in September 2026, featuring state-owned power financier REC Ltd. as the primary issuer. The pilot project will utilize Distributed Ledger Technology (DLT) alongside the Reserve Bank of India’s wholesale Central Bank Digital Currency (CBDC) to facilitate transaction settlement. SEBI Chairperson Tuhin Kanta Pandey highlighted that this initiative aims to test DLT for faster settlement, improved traceability, and automated servicing within the corporate bond market. By integrating securities and payment legs onto an interoperable digital infrastructure, the project seeks to reduce settlement risk and operational reconciliation burdens. While India already maintains a mature dematerialized securities system, this shift represents a transition toward a more programmable and integrated financial architecture. The pilot will also serve as a critical test case for addressing complex legal questions regarding the finality of DLT-based ownership records. Ultimately, this move signifies a strategic evolution in India's financial market infrastructure, potentially enhancing liquidity and retail accessibility for debt instruments.

#CorporateBonds #DLT #CBDC

barandbench.com·Sep 5, 20268.0

#SEBI

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