In a bid to curb fraudulent mobile applications impersonating legitimate stock brokers, the Securities and Exchange Board of India (Sebi) has requested Google to introduce a verification tick mark for genuine broking apps. Sebi Whole-Time Member (WTM) Kamlesh Chandra Varshney confirmed that Google has agreed to the proposal, and the feature could appear on the Play Store within two months.
“When you open the app store, the apps of registered stock brokers will have a tick mark which will once again help investors identify the right app and avoid fake ones,” Varshney said.
Investor Awareness and Fraud Prevention Initiatives
Varshney highlighted other Sebi measures aimed at promoting investor awareness and preventing scams, including the valid UPI initiative and the Sebi vs Scam campaign.
Reviving Commodities Market & Enhancing Liquidity
The regulator is also focusing on the revival of the commodity market and introducing steps to enhance liquidity.
“Certain issues in commodities require active broker participation. However, due to constitutional limitations, spot transactions in commodities fall under state jurisdictions. Farmers need immediate funds and cannot wait for future settlements. Brokers will play a crucial role in the evolving commodity market,” he explained.
Algorithmic Trading Framework on Sebi’s Agenda
Varshney also addressed challenges in implementing Sebi’s algorithmic trading framework. The regulator had previously extended the implementation deadline due to operational difficulties.
“The immediate challenge is algo trading—making it operational. We have set a timeline till December, and hopefully, everything will be sorted by then,” Varshney said, emphasizing the importance of algorithmic trading for the future of financial markets.
Summary
Sebi has requested Google to add verification tick marks for registered broking apps, helping investors distinguish legitimate apps from fraudulent ones. The regulator is also working on reviving the commodities market, enhancing liquidity, and implementing algorithmic trading, reinforcing its focus on market integrity and investor protection.
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