The bonds carry a 7.30% coupon and mature in May 2028. Around 20 investors took part, with participation from private-sector lenders, mutual funds and companies. Buyers named in the report include ICICI Bank, HDFC Bank, Yes Bank, Axis Bank and AK Capital Services.

Tokenisation brings blockchain, a shared digital record system, into bond issuance, trading and settlement. By connecting the transfer of securities with the corresponding payment, it can allow transactions to settle almost immediately. That could reduce manual processing and the risk of either side failing to complete its obligation.

The REC transaction shows an application for central bank digital currency beyond everyday retail payments. For treasury teams, the approach could mean quicker movement of funds and potentially lower processing costs if adoption expands. Expectations of easier bond trading remain a potential benefit rather than a measured outcome stated in the report.

Larsen & Toubro is also planning a ₹500 crore fundraise using tokenised notes with a three-year tenure. That planned issue points to interest beyond REC, although the report does not provide a timetable for wider adoption across the corporate debt market.