SEBI tightens rule for intermediaries to publish ads on social media

Bengaluru: The Securities and Exchange Board of India (SEBI) said on Friday intermediaries seeking to publish advertisements on social media to register on such platforms through their email and mobile number used on the regulator's portal.

SEBI said it has noticed a sharp rise in frauds related to the securities market on social media platforms, including YouTube, Facebook, and X, and hence introducing the guidelines to combat fraudulent activities.

The markets regulator said social media platforms will conduct verification of registered intermediaries before they are allowed to upload advertisements on those platforms.