SEBI has announced the launch of a new digital verification tool ‘SEBI Check’ which will go live from 1 October 2025 to strengthen investor protection and restore trust in the capital markets. This will help investors verify UPI payment handles and bank account details of SEBI registered intermediaries before transferring funds — a much needed measure in the wake of increasing online fraud, impersonation and deepfake scams in the financial space.

Background: A Response to Fraud
In the recent past, unregistered entities have been using fake UPI IDs and have been cheating retail investors. These fraudsters impersonate brokers, mutual fund distributors, research analysts and investment advisers — mislead investors and siphon off funds without being detected. In January 2025, SEBI had issued a consultation paper acknowledging these issues and had outlined the need for a systemic solution. And here’s “SEBI Check” — a robust verification layer to act as a digital shield for investors.
What Is ‘SEBI Check’?
‘SEBI Check’ is a real-time UPI handle verification system. It allows investors to verify the legitimacy of a UPI ID either by scanning a QR code or manually entering the handle. Upon doing so, users will receive confirmation of linked bank details — such as the account number and IFSC code — ensuring the payment is directed to an authentic SEBI-registered intermediary.
The tool will also cover bank account verification, allowing investors to validate the ownership and authenticity of beneficiary bank accounts before transferring funds — a critical feature in an era where financial phishing and impersonation frauds are rapidly evolving.
Mandatory UPI Mechanism for SEBI Entities
In conjunction with the launch of SEBI Check, the regulator has also mandated a new structured UPI payment framework applicable to all SEBI-registered entities involved in fund collection — including brokers, mutual fund platforms, investment advisors, and others. This too will become effective from 1 October 2025.
Under this system, intermediaries will be assigned standardized UPI IDs that include:
- A username chosen by the intermediary
- A category code suffix (e.g., ‘brk’ for brokers, ‘mf’ for mutual funds)
- A unique identifier ‘@valid’ linked to a self-certified syndicate bank
Only verified handles allocated by the National Payments Corporation of India (NPCI) will be used, making fake or misleading UPI handles instantly recognizable.
Furthermore, to visually indicate legitimacy, verified UPI IDs will display a green thumbs-up icon in a triangle, simplifying recognition for investors even with limited financial literacy.
SEBI’s Multi-Layered Approach to Security
The launch of SEBI Check is not an isolated move. SEBI Chairman Tuhin Kanta Pandey emphasized that the tool is part of a broader digital transformation strategy focused on enhancing transparency, trust, and transactional safety in Indian capital markets.
“This is a proactive step to safeguard retail investors. With SEBI Check, we are empowering every investor to independently verify the authenticity of who they’re sending their money to,” Pandey stated in a press briefing on 11 June 2025.
SEBI is also working with online platforms and app stores to ensure only validated payment apps are displayed for download — another layer of security intended to curb the spread of malicious applications targeting unsuspecting users.
Broader Picture
At a time when retail participation in markets is at an all-time high — spurred by digital platforms and rising financial awareness — SEBI’s initiative sends a strong signal that investor safety is paramount. With digital payments now the backbone of market participation, ensuring the legitimacy of payment endpoints is crucial.
SEBI Check and the accompanying mandatory UPI mechanism aim to:
- Prevent impersonation fraud
- Authenticate fund collection channels
- Enhance confidence in digital transactions
- Strengthen overall financial system integrity

Final Thoughts
As the 1 October 2025 deadline approaches, SEBI is expected to issue a detailed operational circular to guide intermediaries and ensure smooth implementation. Market participants — especially brokers and financial platforms — must now prepare for integration with SEBI Check and adoption of the new UPI structure.
For investors, the message is clear: ‘always verify before you pay’. With SEBI Check, due diligence is now just a scan or tap away.
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