Decoding India’s Regulatory Landscape

Covering Trust, PACL, Distributed Ledger Technology, Demat 2.0, Fintech. Explore key regulatory developments in Trust, PACL, Distributed Ledger Technology, Demat 2.0, and Fintech. Updates include RBI’s fintech initiatives, SEBI’s Demat 2.0 pilot, and investor claim resolutions enhancing India's financial ecosystem.

Show Notes

This episode covers the latest regulatory advancements impacting the sectors of Trust, PACL, Distributed Ledger Technology, Demat 2.0, and Fintech in India.

Key highlights include RBI’s emphasis on fintech as a strategic partner for financial inclusion and innovation, with initiatives like the Regulatory Sandbox and the newly formed United FinTech Forum promoting responsible fintech growth. Additionally, SEBI’s successful launch of the Demat 2.0 pilot project enables atomic settlement of tokenised corporate bonds via the wholesale central bank digital currency, elevating transaction efficiency and transparency.

Investor protection measures were also discussed, focusing on orderly resolution of claims related to PACL properties through time-bound processes directed by the Supreme Court and SEBI. These regulatory updates collectively aim to enhance operational resilience, cybersecurity, and trust within India’s evolving financial landscape.

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Articles mentioned:
  1. Trusted Innovation: Shaping the Future of Finance - Keynote address delivered by Shri Shirish Chandra Murmu, Deputy Governor, Reserve Bank of India at the Global Fintech Fest (GFF) 2026, in Mumbai on September 11, 2026
  2. Shaping the Next Decade of Finance – Technology, Trust and Innovation - Keynote Address by Shri Sanjay Malhotra, Governor, Reserve Bank of India at the Global Fintech Festival 2026, Mumbai on September 10, 2026
  3. 57/2026 - 11.09.2026 - Felicitation of Winners of Securities Market TechSprint at Global Fintech Fest 2026
  4. 56/2026 - 10.09.2026 - Chairman, SEBI delivered a keynote address and participated in a panel discussion during Global Fintech Fest 2026
  5. 56/2026 - 10.09.2026 - Successful launch of “Demat 2.0” Pilot project for Tokenised Corporate Bonds
  6. Welcome Remarks by RBI Governor in the Inaugural Session of Global FinTech Fest 2026 on September 8, 2026

What is Decoding India’s Regulatory Landscape?

Regulatory news, updates, and insights for India presented by the Carver Agents team

Welcome to Carver's India Regulatory Updates for September 13, 2026.

The Reserve Bank of India, or RBI, continues to emphasize the critical role of fintech in shaping the future of finance during the Global Fintech Festival 2026 held in Mumbai. On September 8, 2026, RBI Governor Shri Shirish Chandra Murmu highlighted fintech’s impact on financial inclusion, customer experience, and credit delivery to micro, small, and medium enterprises, or MSMEs. The Governor underscored the RBI’s supportive regulatory approach, including initiatives like the Regulatory Sandbox and Innovation Hub, encouraging self-regulation within the fintech sector and promoting responsible innovation while safeguarding trust.

Following this, on September 10, 2026, Shri Sanjay Malhotra, Governor of the Reserve Bank of India, delivered a keynote address at the same event. He recognized fintech as a strategic partner in financial services transformation, emphasizing trust, inclusion, and a global vision. Shri Malhotra announced the establishment of the United FinTech Forum as the second Self-Regulatory Organisation in India. He also introduced new digital infrastructure initiatives, notably the tokenisation of corporate bonds with settlement through central bank digital currency, or CBDC. Fintech firms are required to treat data as a fiduciary responsibility, ensuring consent-based, purpose-limited sharing. Those growing to systemic significance must ensure operational resilience, cybersecurity, and business continuity.

On September 11, 2026, Shri Shirish Chandra Murmu, Deputy Governor of the Reserve Bank of India, delivered a keynote address titled "Trusted Innovation: Shaping the Future of Finance." He outlined evolving regulatory expectations for digital payments, digital lending, artificial intelligence, and quantum computing. Key requirements include ensuring operational resilience with 24x7x365 availability, robust incident response, strengthening cyber resilience with measures such as exclusive ".bank.in" domains, and collaboration across ecosystem participants to prevent and detect fraud. The speech emphasized adopting frameworks for responsible AI and quantum computing to maintain financial stability, customer protection, and sustainable innovation.

In parallel, the Securities and Exchange Board of India, or SEBI, has taken steps to ensure orderly and timely resolution of investor claims and recovery actions. On September 10 and 11, 2026, during the Global Fintech Festival, SEBI’s Chairman delivered a keynote address and participated in panel discussions. The Supreme Court of India directed direct Recovery Officers to prioritize certain applications related to investor claims. A refund portal for Phase II was opened for investors to register claims online within specified dates. Additionally, corrigenda were issued to extend deadlines for e-auction sales of PACL properties, requiring bidders to comply with revised timelines. Recovery Officers are mandated to dispose of specified applications in a time-bound manner, reducing legal and operational risks for all parties involved.

Furthermore, SEBI successfully launched the “Demat 2.0” pilot project for tokenised corporate bonds. This pilot enables atomic settlement of tokenised bonds via the wholesale central bank digital currency, known as e-rupee, improving transaction efficiency and automating asset servicing through smart contracts. Investors must enable Demat 2.0 with their depository participants and hold wholesale CBDC wallets with participating banks for settlement. Existing regulatory safeguards, including credit rating, debenture trustees, listing, and disclosure requirements, continue to apply. Tokenised bonds are held in existing demat accounts without the need for separate wallets. This initiative marks a significant technological advancement in India’s securities market infrastructure, reducing settlement risk, costs, and delays while enhancing transparency.

That wraps up today's regulatory updates. Visit carveragents.ai for more information.