From October 1, 2025, the Securities and Exchange Board of India (SEBI) has introduced a new secure UPI-based payment system aimed at safeguarding investors and minimizing fraud in financial transactions involving brokers and market intermediaries. This move — highlighted in the video and official releases — marks a significant step toward securing digital payments in the investment ecosystem.

 

🔍 Why SEBI Introduced Validated UPI Handles 

In recent years, UPI payment frauds — where unauthorized entities impersonate brokerages or crossover intermediaries — have been increasingly used to deceive investors. Fake UPI IDs have tricked people into transferring funds directly into fraudster accounts. Understandably, this poses a major risk to investors’ savings. 

To provide greater protection and peace of mind, SEBI rolled out two major tools: 

Validated UPI Handles

SEBI Check Tool

 

Together, they enhance the authenticity and transparency of UPI-based investments.

 

📌 What Are Validated UPI Handles? 

Validated UPI Handles are standardized, officially recognized UPI IDs issued to SEBI-registered intermediaries — including brokers, mutual fund houses, and portfolio managers. They have a unique format that makes them easily identifiable and secure.

 

Key features include: 

✔️ Each handle contains a category suffix such as: 

.brk for brokers

.mf for mutual funds

.pms for portfolio managers

 

✔️ It also includes a special “@valid” tag followed by the bank name — e.g., example.brk@validhdfc — which confirms SEBI verification.

 

✔️ When investors make payments using these validated handles, most UPI apps show a green thumbs-up verification icon, signaling the recipient is legitimate. If this icon is absent, it suggests something may be wrong with the payment details.

 

🛠 What Is the SEBI Check Tool? 

In addition to validated UPI handles, SEBI also launched a verification platform called SEBI Check. 

This tool allows investors to:

🔹 Enter a UPI handle or intermediary name

🔹 Confirm if it’s registered with SEBI

🔹 Validate linked bank account details

 

This adds an extra layer of security before sending payments — so investors can verify authenticity before finalizing a transfer.

💡 How This Helps Investors

🚫 Stops Fraudulent Transactions 

By restricting fund transfers to only SEBI-validated UPI handles, fraudsters can’t easily trick investors with fake IDs.

 

🔍 Simple Verification 

The unique structure of the handle — and the verification icon — gives investors an immediate visual cue confirming legitimacy.

 

🛡 Enhanced Trust 

This new system builds investor confidence by making it easier to tell if a transaction is going to a real, authorized intermediary.

 

💸 Flexible Payment Options 

Even with these new handles, investors can still use traditional methods like UPI, NEFT, RTGS, or IMPS — but the validated handles make sure that UPI payments go securely.

🧠 Tips for Investors Before Making UPI Payments 

✔️ Always ensure the UPI handle ends with @valid + bank name

✔️ Check for the verification icon in your payment app

✔️ If unsure, run a SEBI Check before sending money

✔️ Avoid paying through unverified handles or links shared on social media