Source: Mint
Context:
The Securities and Exchange Board of India (SEBI) has introduced @valid UPI handles and the SEBI Check tool to help investors ensure payments are made only to SEBI-registered intermediaries, reducing fraud risk in the securities market.
Key Features:
- Unique UPI IDs:
- Every SEBI-registered intermediary (brokers, mutual funds, etc.) will now use a UPI handle ending with @valid.
- Suffixes like .brk (broker) or .mf (mutual fund) indicate the type of intermediary.
- Trust Symbols:
- Payments via @valid handles display a green triangle with a thumbs-up symbol to confirm authenticity.
- QR codes with the same symbol allow investors to verify the entity before making payments.
Significance:
- Provides investors with enhanced security and instant verification of intermediaries.
- Reduces risks of fraudulent fund collection by unregistered entities.
- Ensures transparency and accountability in retail investment payments.
