Launch of Demat 2.0 Tokenized Corporate Bond Project (SEBI)
The Securities and Exchange Board of India (SEBI) launched the “Demat 2.0” pilot project, introducing tokenized corporate bonds natively recorded on a distributed ledger. It utilizes the Reserve Bank of India’s wholesale central bank digital currency (CBDC) and Unified Market Interface to enable instantaneous atomic settlement, using smart contracts to automate interest and redemption payments. Unlike global precedents—which largely involve individual issuers on isolated platforms—Demat 2.0 natively embeds tokenized bonds and CBDC settlement directly within India’s existing regulated market infrastructure. Following an initial ₹1,025 crore issuance by three companies, the pilot aims to reduce costs and settlement risks. While the technology changes, investor safeguards, legal rights, and regulatory frameworks remain identical to conventional bonds, with future phases planned for retail access. [SEBI]
BTW if you want to see a complete database of my DFC-related posts going back years, including many that didn’t make the Daily Digest cut, click here.
FYI I produce a monthly digest of digital fiat currency (DFC) developments exclusively for the official sector (e.g., central banks, ministries of finance and international financial institution (e.g., the BIS, IMF, OECD, World Bank)) plus academics and firms that are active in the DFC space (commercial banks, technology providers, consultants, etc.). (DFCs include central bank digital currency (CBDC), stablecoins and tokenized deposits.) It goes out via email on the first business day of every month, and if you’re interested in being on the mailing list, please email me at john@kiffmeister.com.
