India Prepares Tokenized Corporate Bond Pilot With CBDC‑Based Settlement
TL;DR
- India is preparing a September pilot for tokenized corporate bonds using blockchain-based settlement and wholesale CBDC payments.
- State-owned REC Limited could issue less than 5 billion rupees, or about $57 million, in bonds.
- Investors would use a CBDC wallet alongside a new DEMAT 2.0 securities wallet, while a secondary market is expected to emerge by December.
India is preparing to test tokenized corporate bonds through a September pilot that combines blockchain-based securities with wholesale CBDC settlement. State-owned REC Limited is expected to issue less than 5 billion rupees, or about $57 million, in bonds.
The pilot could test faster delivery-versus-payment settlement while exposing a key tension in state-led digital finance. Blockchain can make securities markets more efficient, but routing transactions through a government-controlled CBDC raises questions about financial autonomy, privacy and access.
India Tokenized Corporate Bond Pilot Takes Shape
REC, a major power-sector financing company, plans to issue the bonds to a select group of investors, according to people familiar with the discussions. The offering could be presented at an annual fintech event in Mumbai in September, putting tokenized debt at the center of India’s digital-finance agenda.
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