SEBI has consultation paper on Draft circular on recognition as Specified Digital Platform. The objective of this paper is to seek public comments on the provisions of the draft circular laying down the preventive and curative measures required to be demonstrated by the digital platform for recognition as Specified Digital Platform (SDP) under SEBI (Intermediaries) Regulations, 2008, Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018 and SEBI (Depositories and Participants) Regulations, 2018.
The comments/ suggestions should be submitted latest by November 12, 2024, online.
The specified digital media platforms should have the following preventive measures in place-
Policy on collaboration with SEBI: The platform should have a laid down policy to the satisfaction of SEBI to share the information and data, specific or aggregated, related to securities market on their platform with SEBI when asked for and to act on the information and inputs received from SEBI.
Ability to identify and analyse the content and/or advertisement related to a security or securities (including related services) under the regulatory purview of SEBI: The platform should have in place the necessary technical tools, systems and expertise imparting the platform an ability to identify and analyse the content and/or advertisement related to a security or securities (including related services) under the regulatory purview of SEBI. The platform should deploy advanced artificial intelligence (AI) and machine learning (ML) tools for such purpose.
Policy on violations related to securities market: The platform should have a policy to take measures to the satisfaction of SEBI to deal with the violations related to securities market including the cases of advice/recommendations/claims by entities not registered/permitted by SEBI.
Policy on impersonation related to securities market: The platform should have a policy to take strict measures against impersonation of the SEBI, SEBI officials and persons regulated by SEBI, MIIs and their agents. If the digital platform already has an existing policy on impersonation that covers the requirements, the digital platform shall demonstrate that the requirements are covered under their existing policy on impersonation.
