Raghav Chadha Introduces Bill to Regulate Asset Tokenisation in India
Rajya Sabha MP Raghav Chadha has taken a significant step towards modernising India's financial landscape by introducing a Private Member's Bill titled "The Asset Tokenisation (Regulation) Bill, 2026" in the House. This legislative proposal, presented on Friday, seeks to establish a clear legal and regulatory framework for tokenised real-world assets across the nation.
Objectives of the Proposed Legislation
The Bill aims to provide legal recognition to asset tokenisation, a process that involves converting physical assets into digital tokens. By doing so, it intends to bring much-needed clarity to the rapidly evolving digital asset ecosystem in India. Key aspects of the proposed framework include:
- Creating a statutory structure for the issuance of tokenised assets.
- Regulating the trading and custody of these digital units.
- Establishing protocols for the settlement of transactions involving tokenised holdings.
According to Chadha, this initiative is designed to ensure transparency, accountability, and investor protection while simultaneously encouraging innovation within the financial technology sector. The Bill also calls for robust regulatory oversight to safeguard market integrity and maintain financial stability in tokenised asset markets.
Background and Advocacy
Chadha had previously urged the government to introduce a dedicated Tokenisation Bill, advocating for the division of various assets into digital units. This includes assets such as:
- Real estate properties.
- Infrastructure projects.
- Intellectual property rights.
By tokenising these assets, they can be purchased in smaller, more affordable portions, potentially democratising access to investment opportunities and enhancing liquidity in traditionally illiquid markets.
The introduction of this Bill marks a pivotal moment in India's approach to digital finance, as it addresses the growing need for structured regulations in an increasingly tokenised world. As the discussion progresses, stakeholders will be closely watching how this legislation shapes the future of asset management and investment in the country.
