The Securities and Exchange Board of India (SEBI) has launched two new digital initiatives — Validated UPI Handles and SEBI Check — designed to boost payment security in the stock market and protect investors from fraudulent fund collections.
Under the new system, SEBI-registered intermediaries such as brokers and mutual funds will operate through an exclusive “@valid” UPI handle, issued by the National Payments Corporation of India (NPCI). Each handle will carry suffixes like “.brk” for brokers and “.mf” for mutual funds, making it easier for investors to identify genuine payment channels.
According to SEBI, more than 90 per cent of major brokers and all mutual funds have already adopted the facility. During transactions, investors will also see a thumbs-up icon inside a green triangle and a special QR code design, ensuring instant verification of authenticity.
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To complement this, SEBI has introduced SEBI Check, a verification tool that enables investors to confirm the bank account details and UPI IDs of intermediaries before transferring funds. Verification can be done using account numbers and IFSC codes or the @valid UPI ID via the SEBI Check platform or the regulator’s Saarthi mobile app.
“These initiatives create a secure and verified payment ecosystem in the securities market, preventing unauthorised money collections and strengthening investor protection,” SEBI said in its release.
The regulator outlined three key benefits of the rollouts:
Stronger security — payments can only be made through verified intermediaries.
Instant fraud alerts — missing thumbs-up cues signal potential risks.
Greater transparency — investors gain confidence in digital transactions.
Industry experts believe the move will act as a digital firewall against unregistered entities, creating a gated payment system that significantly reduces the risk of fraud in India’s capital markets.
