Maharashtra has begun drafting legislation that would allow immovable property to be digitized and exchanged through blockchain-based tokens, positioning India’s wealthiest state as a potential early mover in regulated real-estate tokenization.
Chief Minister Devendra Fadnavis reviewed the proposed Maharashtra Digitisation and Exchange of Land Token Assets Act, or DELTA Act, at a meeting in Mumbai on July 20, 2026. The proposal is not yet enacted law, and important details covering token ownership, trading venues, custody and investor eligibility remain under development.
The state intends to create a legal structure under which tokens linked to the underlying value of land or other immovable property could be issued and transacted digitally. Fadnavis said the framework should provide legal certainty, protect ownership rights and help property holders access value that is currently difficult to monetize.
Maharashtra has previously estimated that asset tokenization could help unlock as much as ₹50 trillion, or approximately $595 billion, of dormant capital. The initiative also supports the state’s objective of becoming a $1 trillion economy by 2030.
Expert Committee to Shape Legal Framework
Fadnavis directed the Urban Development Department and the Law and Judiciary Department to establish an expert committee to prepare a comprehensive draft. The body is expected to include representatives from the Securities and Exchange Board of India, BSE and the National Stock Exchange, alongside legal, financial and technology specialists.
Their involvement reflects the regulatory complexity of converting property interests into transferable digital instruments. Depending on their design, land tokens could function as records of ownership, fractional investment products, claims on property income or securities representing beneficial interests.
The distinction will determine which regulators have jurisdiction and whether tokens can be traded freely, used as loan collateral or redeemed for direct property rights. The proposed law must also align with central legislation governing land registration, securities, taxation, foreign investment, anti-money-laundering controls and digital assets.
Fadnavis asked officials to examine international laws and operating models before finalizing the framework. If enacted, Maharashtra says DELTA would be India’s first state-level law dedicated specifically to blockchain-based property tokenization.
Tokenization Promises Efficiency but Raises Ownership Questions
Real-estate tokenization converts rights linked to a property into digital units recorded on a distributed ledger. Supporters argue that the model could shorten settlement times, create transparent ownership histories and allow assets to be divided into smaller, more accessible investment units.
Maharashtra also expects tokenization to simplify property sales and borrowing against land. A verified blockchain record could reduce repetitive document checks and make it easier for banks to assess ownership and encumbrances, although the technology cannot independently correct inaccurate land records or resolve existing title disputes.
The state will therefore need a legally recognized connection between each token and the official property registry. Rules will also be required for lost digital credentials, court-ordered freezes, inheritance, mortgages, competing claims and reversal of fraudulent transactions.
India is already considering tokenized real-world assets through the International Financial Services Centres Authority in GIFT City, while a separate private member’s bill introduced in Parliament in 2026 proposed a broader national framework.
DELTA could advance the sector by giving blockchain records statutory recognition. Its impact, however, will depend on whether the final law creates enforceable property rights rather than merely issuing digital representations of assets whose ownership still depends on conventional documentation.
