Meta enforces SEBI verification for finfluencer and finance brand ads targeting users in India

New Delhi: Meta, the parent company of Facebook and Instagram, has announced that starting July 31, 2025, all advertisers running securities and investment-related ads targeting Indian users must undergo mandatory verification through the Securities and Exchange Board of India (SEBI). 

The policy, rolled out on June 26, targets unregistered financial influencers who have been spreading misleading investment tips across social media platforms.

The new rules require advertisers to submit valid SEBI registration details, including the organisation’s name, SEBI registration number, and registered email and phone number. 

Meta will send a verification code to the provided contact for authentication, and the verified details, including the SEBI registration number and organisation name, will be publicly displayed on the ads alongside custom disclaimers. This information will also be archived in Meta’s Ad Library for up to seven years, ensuring transparency and accountability.

For advertisers exempt from SEBI registration, such as financial educators or trainers, Meta has introduced alternative verification methods, including submitting government-issued IDs for individuals or business documents for organisations. 

However, their verified identities will still be disclosed on the ads. Ads focused solely on financial education or skill-building may not require SEBI verification, though alternate criteria will apply.

The move comes in response to growing concerns over securities-related frauds on digital platforms, as highlighted by SEBI’s March 21, 2025, advisory. 

The regulator noted a surge in scams on platforms like YouTube, Instagram, WhatsApp, and X, where unregistered influencers lure investors with promises of guaranteed returns or deceptive testimonials. 

SEBI had urged all registered intermediaries to verify their contact details with social media platforms, a directive that Meta has now operationalised.

Meta has also signalled that similar verification requirements may extend to other financial product categories, such as loans or cryptocurrencies, in the future.

The policy applies to both domestic and global campaigns targeting Indian audiences, posing operational challenges for international advertisers and agencies managing financial clients. Campaign setup timelines must now account for verification processes, and smaller firms lacking SEBI registration may face exclusion from Meta’s advertising ecosystem.

This crackdown follows SEBI’s broader efforts to regulate financial influencers, including a January 2025 circular banning unregistered entities from using real-time market data in educational content.