SEBI Launches Validated UPI Handles and SEBI Check Tool to Secure Investor Payments

In a landmark initiative aimed at enhancing investor protection and safeguarding payments in the securities market, the Securities and Exchange Board of India (SEBI) has introduced validated UPI handles along with a real-time verification tool called “SEBI Check.” Effective from October 1, 2025, this move targets to curb frauds by ensuring secure and verified payments to SEBI-registered intermediaries.

 

Key Highlights of the New Payment Security Framework

 

Validated UPI Handles are structured UPI IDs unique to SEBI-registered market intermediaries, featuring category-specific suffixes (e.g., .brk for brokers, .mf for mutual funds) and an exclusive “@valid” suffix issued by NPCI.

 

A green thumbs-up icon inside a triangle will appear on payment screens and QR codes, signaling verified entities and providing a trusted visual indicator to investors.

 

The SEBI Check tool allows investors to verify UPI IDs by scanning QR codes or manual entry, confirming the intermediary’s bank account number and IFSC codes in real time.

 

Transaction limits for capital market payments through UPI are set between ₹2 lakh to ₹5 lakh daily, with periodic reviews for adjustments based on system evaluations.

 

Responsibilities and Investor Benefits

Market intermediaries must update UPI handles and educate investors about the new system through multiple channels, ensuring smooth adoption. The system enhances payment safety, reduces impersonation risks, and boosts investor confidence by providing transparent verification before making payments.

 

Future Outlook for India’s Capital Markets

SEBI’s initiative represents a significant leap toward digitally secure financial transactions and reinforces its commitment to combating payment fraud. This progressive framework is expected to build investor trust and strengthen India’s capital market ecosystem.

 

Sources: SEBI Circular, Lawrbit, Morgan Stanley India Research, NSDL, ET Now News.