SEBI and Google Roll Out Verified App Label for Over 600 Stock Trading Apps to Curb Fraud

In a decisive bid to curb the proliferation of fraudulent financial apps and protect retail participants, Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey launched the "Verified App Label Initiative". Implemented in partnership with Google, the mechanism introduces a visual verification badge on the Google Play Store for applications operated by SEBI-registered entities.

The initial rollout covers over 600 mobile applications belonging to SEBI-registered stockbrokers, with plans to expand the badge to other registered market intermediaries in due course.

Tackling Digital Impersonation

Addressing the launch, SEBI Chairman Tuhin Kanta Pandey highlighted that the digital transition in Indian capital markets has exposed investors to sophisticated scam architectures. Fraudsters frequently clone user interfaces and names of reputable brokerage houses to mislead users into believing their money is being deployed into the regulated securities market.

"This initiative is not just about a label on an app, it's about trust and safety. It's about helping investors distinguish the genuine from the fake," Pandey said, stressing the principle of "First verify, then invest" ("Pehle Pechaan Kare, Fir Nivesh Kare!").

According to SEBI, digital platforms are undergoing active scrutiny to preempt financial harm. The market regulator reported that:

• Over 1.3 lakh instances of misleading, investment-related digital content have been escalated to online platforms for removal.
• Around 66 fake trading applications have been flagged and taken down from app stores.
• An API-based framework has been operationalized to ensure only verified, registered intermediaries can publish financial advertisements on platforms like Google and Meta.

The "CVV" Investor Safety Framework

SEBI urged market participants to maintain digital vigilance at every stage of their financial transactions by adopting a three-pronged "CVV" verification framework:

• Check: Verify intermediary registration and bank account credentials via the "SEBI Check" tool available on the Saa₹thi app.
• Validate: Ensure transactions use validated UPI handles marked with the official "Valid" tag before authorizing payments.
• Verify: Check for the official "Verified" badge on app store listings before downloading trading software, avoiding side-loading APK files or clicking unofficial download links.

Aditya Swamy, Managing Director at Google Play India, characterized the deployment as a unique public-private partnership aimed at establishing institutional safeguards directly at the point of download. The initiative adds to SEBI's broader regulatory agenda under Pandey, who assumed charge as the 11th SEBI Chairman in March 2025, prioritizing technology-driven enforcement and investor safety amidst historic retail market participation.

Tags: SEBI Google Google Play Store Tuhin Kanta Pandey Retail Investors Fintech