The Central Securities Depository of India in Mumbai (NSDL) has inaugurated a blockchain-based security and contract monitoring platform. NSDL officially launched the distributed ledger technology (DLT) platform on Saturday during a 25th anniversary presentation along with the Securities and Exchange Board of India (SEBI). The platform aims to strengthen security and governance oversight in the corporate bond market to bring more discipline and transparency to the market.

SEBI Chair Madhabi Puri Buch highlighted the transparency of blockchain as the main reason for the technology’s popularity. However, he was critical of its current cost-effectiveness, noting that the anonymity feature remains very unpopular with Indian authorities.

The network is operated by two nodes. One is controlled by NSDL and one by Central Depository Services Ltd (CDSL), a division of SEBA. Buch explained that other entities will be able to join the network and set up their nodes in the future.