Raghav Chadha has introduced a new private member bill aimed at regulating asset tokenization in India.
The bill is titled The Asset Tokenization (Regulation) Bill, 2026. It seeks to create a legal and regulatory structure for digital tokens that represent ownership of real-world assets.
The proposal was introduced in the Parliament of India as part of an effort to address the rapid development of digital finance and blockchain-based investment systems.
Source: Raghav Chadha
According to Chadha, the bill is designed to bring legal clarity to this sector as it is constantly growing but lacks clear regulations and restrictions. As tokenized assets become more popular around the world, policymakers in many countries are looking at ways to regulate the technology while they still encourage innovation.
The proposed legislation would focus on building a balanced framework that protects investors while allowing the digital asset industry to develop in a safe and structured environment.
Creating a Legal Framework for Tokenized Assets in India
One of the main goals of the bill is to officially recognize asset tokenization under Indian law. This recognition would give legal status to tokenized representations of RWAs and help define how these digital instruments can be issued and also traded within the country.
The bill also proposes a framework that would regulate the entire lifecycle of tokenized assets. This includes the issuance of tokens, trading on digital platforms, and the settlement of transactions between buyers and sellers.
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Another key feature of the proposal is regulatory oversight. The bill suggests the introduction of supervision mechanisms for markets where tokenized assets are bought and sold. This would help ensure that companies operating in the digital sector follow clear rules and maintain transparent practices.
Chadha shared that the bill is designed to strike a balance between regulation and innovation. While it introduces oversight and rules, it also aims to support digital asset progress and encourage the development of blockchain-based financial products.
If adopted, the Asset Tokenization (Regulation) Bill could place India among the countries actively building regulatory frameworks for tokenized RWA
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