Member of Parliament Raghav Chadha urged the government on Tuesday to implement an asset tokenization bill during a key session in the Rajya Sabha. His proposal seeks to turn office towers and highways into accessible investment shares for India’s middle class.
Chadha compared this initiative to the Unified Payments Interface (UPI), arguing that blockchain can do for ownership what UPI did for payments. The central goal is to enable fractional ownership of infrastructure projects and real estate, assets that have traditionally been out of reach for the common citizen.
On the other hand, the Indian middle class is currently limited to bank savings and fixed deposits due to high market entry barriers. Tokenization would open high-yield assets to this demographic, providing instant liquidity and eliminating costly intermediaries that hinder efficient financial participation.
Likewise, the lawmaker emphasized that the nation urgently needs bespoke legislation and a regulatory sandbox to validate these models safely. A clear legal framework would make investment and ownership truly inclusive for the common man, attracting significant global capital flows.
Raj Kapoor, founder of the India Blockchain Alliance, noted that the country stands at a decisive inflection point in financial evolution. According to the expert, this regulation is no longer optional, but a strategic necessity to anchor India in the next international financial architecture.
Without a clear statutory framework, the nation risks its assets and capital formation migrating rapidly overseas. Jurisdictions with legal clarity like Singapore or the United Arab Emirates are rapidly becoming magnets for global capital, drawing innovation outside Indian borders.
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Global financial figures like BlackRock’s Larry Fink have compared the current stage of tokenization to the early days of the Internet in 1996. Musheer Ahmed of Finstep Asia added that an asset tokenization bill would establish clear rules, placing the country alongside global leaders in next-generation financial innovation.
Finally, the distinction between crypto and digital assets will be crucial to mitigate concerns about money laundering and complex cross-border flows. If passed, this legislation would ensure domestic value creation remains in the country, preventing the export of financial innovation to friendlier foreign jurisdictions.
