The new DEFI platform enters the market! Earn passively - token sale 0.25 $ I'm going in!

Indian securities Watchdog to introduce system for handling financial instruments

3 min reading

Within the first quarter of next year, India's securities authority intends to rely heavily on distributed ledger technology for the monitoring and recording of financial instruments.

India’s securities watchdog plans to incline heavily on distributed ledger technology for the monitoring and recording of financial instruments, and recording of financial instruments during the start of next year. 

The securities and Exchange Board of India (SEBI) declared on Wednesday its plan to launch a system for “security and covenant monitoring” for non-convertible debentures (NCDs) by April 1, 2022. It states an important move for the use case of Blockchain within India’s financial ecosystem and backs other important institutions in grip with the technology for increased systems efficiency. NCDs are known as financial instruments that understand a debt obligation is a long-term instrument with a feature that lets it to be cashed in for shares at a later date with keeping the circumspection of the owner. Debentures that cannot be changed into shares are known as “non-convertible” products.

The system will follow on covenants terms were put into debt agreement and will control the credit ratings of the NCDs. The system will give important permission to trustees, issuers and credit rating agencies to update transaction data. Meanwhile, the data will be approachable to stock exchanges and depositories to provide for a more transparent process. Data stored will be cryptographically signed, time-stamped, and eventually added to the ledger will be entirely encrypted and will be shared only with necessary stakeholders on a “need-to-know basis,” SEBI revealed in its statement. 

DLT has the potential to provide a more resilient system than traditional centralized databases and offer better protection against different types of cyber-attacks because of its distributed nature, which removes the single point of attack,” the watchdog said. 

Currency Exchange rate Buy cryptocurrency

Buy crypto now

Dear customer,

We use cookies to provide our services correctly and safely. Cookies are small text-based data sets that shall be saved on the device you are using in connection with the use of this instnat website. Cookies are created in order to ensure proper functioning of thes instant website. By clicking the button "I accept and go to the website", you implicitly agree to creation of the cookies on your computer and to deploy automatic tracking and data collection and processing on behalf of the Lushup Holdings FZ LEE. Click the above-captioned button is also tantamount to accepting website's privacy policy. Closing the notification by means of "X" is unequivocally connected with your consent. If you do not agree to any of the above, please discontinue using our Website.

“Cookies” shall make an identification of the software used by you and to customization of this instant website to your needs. Cookies contain the name of the domain from which they origin, duration of period of their storage on your computer and an assigned value.

Third party cookies:
We also use third-party cookies for the following purposes:

  • creating statistics - helping to understand the way Users use the Website, which allows to improve its structure and content with use of the analytical tools
  • defining a user profile - in order to display custom-tailored content in advertising networks.

External entities that might be source of any third-party cookies on this instant Website are as follows:

Using a settings of your web browser or by using pre-set configuration tools available in our service you can independently and at any time change the settings concerning your use of the “cookies”, specifying the conditionsof their storage and how your device is creating and downloading them. These settings can be changed to block the automatic handling of cookies in the settings of your web browser or inform about their placement on your device each time.

Detailed information about the options related to use of “cookies” is available in the settings of your software (web browser).

Service privacy policy

This instant document lays out the principles of the Privacy Policy on the website (hereinafter referred to as the "Website" or "Service"). The administrator of the Website is Lushup Holdings FZ LEE, Fujairah - Creative Tower, P.O.Box 4422 Fujairah, United Arabs Emirates.

The full document to read the Tokeneo privacy policy is available in this document.

Advanced settings can be changed in your browser.