India has recorded its first tokenised corporate bond issue, marking an important step towards bringing blockchain-based technology into the country’s corporate debt market. REC Limited, a state-owned power sector financier, raised ₹500 crore through the pilot issuance under SEBI’s Regulatory Sandbox Framework. The issue uses Distributed Ledger Technology (DLT) to digitally record and manage bond ownership and settlement. Unlike traditional systems, tokenisation can allow financial assets to be represented digitally on a blockchain-based platform, potentially making transactions more transparent and efficient. The pilot is aimed at testing how this technology can be used in the corporate bond market, particularly for improving settlement processes, record-keeping and overall transaction efficiency. The initiative could also provide valuable insights into the future use of digital assets within India’s regulated financial system.