Arya.ag Plans Blockchain Integration for Indian Grain Storage Records via Avalanche Network
The Indian agricultural firm Arya.ag has begun trials of tokenized warehouse receipts using Avalanche's infrastructure for operations managing $2 billion worth of commodities while facilitating $1.3 billion in yearly lending.
Arya.ag, an Indian company specializing in agricultural warehousing and financial services, has commenced trials of a platform designed to tokenize warehouse receipts for grain inventory using a dedicated layer-1 blockchain built on Avalanche.
The company has partnered with Finternet to link grain storage deposits, warehouse documentation, collateral obligations, and lending status via the blockchain network.
In a conversation with Cointelegraph, Devika Mittal, who leads Ava Labs' India operations, confirmed that trials are currently in progress and explained that every tokenized receipt would signify ownership of the commodity in storage. Neither organization revealed a projected launch timeline or specified the volume of grain or lending that would be included in the first phase of deployment.
According to Sanmesh Kalyanpur, who serves as a director at Finternet Labs, Arya.ag's sampling personnel gather data regarding stored grain and input this information into the company's digital platform. Finternet plans to merge farmer data, commodity details, warehouse records, and insurance information into what Kalyanpur described as a "composite token" that financial institutions can utilize when evaluating collateral risk.
Through its warehouse network, Arya.ag maintains storage of approximately $2 billion in agricultural commodities and facilitates roughly 120 billion Indian rupees (approximately $1.26 billion) in annual lending, based on the official announcement. The company's lending division, Arya Dhan, distributes around $230 million in loans on a yearly basis.
These numbers reflect Arya.ag's current business operations and should not be interpreted as assets or loans that have already been migrated to blockchain infrastructure.
Finternet concept traces back to 2024 BIS paper
The foundational Finternet framework was presented in a 2024 research paper published by the Bank for International Settlements, co-authored by Nandan Nilekani, co-founder of Infosys, and AgustÃn Carstens, who was serving as BIS General Manager at the time.
The research document proposed the creation of interconnected unified ledgers designed for tokenized assets, while stressing the importance of establishing appropriate legal and regulatory frameworks to support such systems.
Cointelegraph reported in January that the total value of tokenized real-world assets on the Avalanche network surpassed $1.3 billion by the conclusion of 2025, with growth primarily attributed to lending activities and tokenized money-market funds.
India expands warehouse-backed agricultural lending
Digital warehouse receipts enable farmers and agricultural enterprises to obtain financing using commodities in storage as collateral, rather than being forced to sell their produce immediately following harvest.
According to Arya.ag and Ava Labs, their platform aims to provide lenders with a unified record displaying which grain is stored, ownership details, whether it has already been committed as collateral, and information about existing debt obligations.
The platform will continue to require precise verification of the physical commodities that the digital records represent, as stated in the announcement.
During 2024, the Indian government introduced a credit-guarantee program worth 10 billion rupees, designed to stimulate financing secured by electronic negotiable warehouse receipts, with particular focus on supporting small and marginal farmers.