SDG 9: Industry, Innovation & Infrastructure | SDG 16: Peace, Justice & Strong Institutions
Institutions: Ministry of Finance | Securities and Exchange Board of India (SEBI)
The Securities and Exchange Board of India (SEBI) has introduced Validated UPI Handles and SEBI Check to strengthen the safety of investor payments in capital markets. These measures ensure that funds are transferred only to SEBI-registered intermediaries such as brokers, depositories and their participants (NSDL, CDSL), mutual fund houses/AMCs and their distributors, and other registered market entities. This prevents misdirection of funds to fraudulent or unauthorized accounts.
Under Validated UPI Handles, only UPI IDs linked with verified SEBI-registered intermediaries will be allowed for payments in securities transactions. SEBI Check acts as a real-time verification tool, enabling investors to confirm whether a payment request or UPI ID truly belongs to an authorised intermediary before completing the transaction.
By targeting payments to SEBI-registered entities, these initiatives reduce fraud risk in IPO applications, mutual fund subscriptions, and stock market trades. This strengthens investor confidence and aligns with India’s broader vision of secure, fraud-resistant digital finance infrastructure.
Relevant Question for Policy Stakeholders: How can SEBI ensure rapid adoption of validated UPI handles and SEBI Check across all brokers, depositories, and mutual fund platforms, especially for investors in smaller towns and semi-urban areas?
Follow the full news here: SEBI rolls out “Validated UPI Handles” and “SEBI Check”