October 9, 2025

Mumbai is buzzing as the Reserve Bank of India (RBI) announces a fresh and futuristic move! On October 8, RBI will kick off a thrilling pilot project for deposit tokenisation. What’s this? Imagine your bank deposits turning into special digital tokens that can move fast and safe across systems. RBI’s chief general manager, Suvendu Pati, shared this exciting news at the Global Fintech Fest on Monday. This pilot will use the wholesale side of RBI's central bank digital currency (CBDC) as the base layer. That means the digital tokens will be built on a super secure digital money platform. The RBI is joining hands with "a few banks" to make this happen, creating a new chapter in digital finance. But why tokenisation? Suvendu Pati explained, "From a regulatory standpoint for tokenisation of an underlying asset, we believe integrity and enforceability have to be established," ensuring that everything is legal and safe. He added, "Risks in asset tokenisation are manageable and can be addressed through regulatory guardrails." RBI is even exploring tokenisation in money market instruments soon. What’s the big deal about tokenisation? In simple terms, tokenisation converts real financial assets—like deposits, stocks, or bonds—into digital tokens on a blockchain or another secure ledger. This change makes transactions faster, cheaper, and safer. Your bank deposits won’t just sit quietly anymore; they’ll become digital tokens that can be used, transferred, or settled with lightning speed across different systems. This digital makeover promises to transform banking and finance in India. As RBI leads this march into the future, keep your eyes peeled for more updates on this path-breaking journey!

Read More at Economictimes →

Tags: Rbi, Deposit tokenisation, Cbdc, Blockchain, Digital assets, Banks,