Tokenization of Securities in India: Analyzing theRegulatory Framework of SEBI andGift City’s IFSCA Regulations
Keywords:
Tokenization, Digital Ledger Technology, Real World Assets, SEBI, IFSCAAbstract
This research seeks to analyze the theoretical framework and technicalities of the tokenization process. The Gift City’s recent regulation on tokenized securities issued in February 2025, its alignment and inconsistencies with SEBI’s framework, and the efficiency of the legal framework will be examined. This article focuses on answering the following questions: 1. Whether the recent IFSCA’s regulatory initiative in developing the tokenization of assets goes in congruence with SEBI’s framework? 2. Whether the IFSCA’s consultation paper on implementing a regulatory framework provides for the inclusion of tokenized securities? 3. And whether SEBI’s consistent reluctance to bring in regulations for tokenized securities creates economic and market-related concerns?
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