SEBI mandates exclusive ‘@valid’ UPI handles for registered intermediaries from Oct 1

SEBI will introduce a structured and validated UPI address mechanism featuring an exclusive "@valid" handle for all SEBI-registered investor-facing intermediaries, the market regulator said in a press meeting. Additionally, SEBI is also developing an app named “SEBI Check” for investors to verify the authenticity of intermediaries before making any transactions.

The market regulator has mandated that all intermediaries collecting investor funds—such as brokers, investment advisers, and research analysts—must transition to this system by October 1, 2025. The new structure is expected to cover nearly 9,000 registered intermediaries.

SEBI said the initiative aims to safeguard investors, as in recent years unregistered entities have increasingly misled investors by collecting funds without authorization, often siphoning off the money for personal gain.

“There is a lot of public concern regarding cyber fraud. We have to find systemic solutions to it. We have 130 million unique investors now, and we need a system in the securities market where they invest through a mechanism that assures them they are investing in the right place,” SEBI Chairperson Tuhin Kanta Pandey said at a press briefing.

The new UPI handle will feature a unique and exclusive identifier ‘@valid’ combined with the name of the self-certified syndicate bank. These ‘validated’ handles will be exclusively allocated by the National Payments Corporation of India (NPCI) only for payment collection by SEBI-registered intermediaries. To ensure identification of legitimate transactions, investors will see a clear visual cue—a "Thumbs-Up inside a green triangle" icon—when making a payment to a registered intermediary through this new handle. Intermediaries are also required to generate a QR code that prominently features this "thumbs-up" logo for investor convenience.

With “SEBI Check,” investors will be allowed to verify the authenticity of UPI IDs either by scanning a QR code or by entering the UPI ID manually, and also confirm the bank details such as bank account number and Indian Financial System Code (IFSC) of a registered intermediary.