SEBI warns investors against unauthorised virtual trading, gaming platforms offering stock price-based advice
The Securities and Exchange Board of India (SEBI) on Monday cautioned investors about virtual trading and gaming platforms that provide trading advice based on stock prices.
“It has come to the notice of the Securities and Exchange Board of India that some apps/web applications/platforms are offering virtual trading services or paper trading or fantasy games to the public based on stock price data of listed companies,” SEBI said in a circular.
According to the regulator, this practice violates Sebi norms.
“Such activities are in violation of the Securities Contract (Regulation) Act, 1956 and SEBI Act, 1992, which are laws designed to protect investors,” it said.
Legal experts believed that Sebi’s move to issue advisories was to…
