Although investing through mobile apps has now become very easy, the risk of fraud has also increased proportionately. Keeping this in mind, SEBI (Securities and Exchange Board of India) has started a new initiative to protect investors. Under this initiative, Chairman Tuhin Kant Pandey has launched the ‘Verified App’ label. Its purpose is to clearly differentiate between genuine and fake apps, so that people can avoid falling into the trap of fake platforms. Let’s take a detailed look at this new initiative…
How to identify genuine apps?
Under this new initiative, SEBI will display a special ‘Verified’ badge on the official apps of brokers registered on Google Play Store. With this, users will be able to easily differentiate between genuine and fake apps. So far, more than 600 apps have received this verification status under this initiative of SEBI. Additionally, there are plans to extend this initiative to other financial platforms in the future.
App verification is required before investing
Advising investors to remain cautious, SEBI has stressed that it is very important to verify the authenticity of any app before trusting it. Fake platforms not only cause loss of money but also break people’s trust. With over 140 million investors in the country—and growing rapidly—it is more important than ever to prioritize security given the size of this market.
SEBI has already taken several steps
SEBI has already taken several steps to ensure the safety of investors. These initiatives include removing fake content, implementing a UPI verification system, and monitoring advertisements—all aimed at preventing online fraud. Apart from this, awareness campaigns are also conducted from time to time to make people aware and protect them from fraudulent activities.