Meta cracks down on finfluencer fraud with mandatory SEBI verification for investment ads
Starting July 31, advertisers promoting securities and investment content on Meta platforms, Facebook, Instagram, Messenger and WhatsApp, must submit valid SEBI registration details for verification.
ADVERTISEMENT
Meta has introduced mandatory advertiser verification for all investment-related ads targeting Indian users, marking a watershed moment in the battle against fake “market gurus” and unregistered financial influencers, often dubbed “furus".
Starting July 31, advertisers promoting securities and investment content on Meta platforms, Facebook, Instagram, Messenger and WhatsApp, must submit valid SEBI registration details for verification. This applies not only to Indian advertisers but also to global campaigns aimed at Indian audiences. The updated ad policy, announced on June 26, follows increasing regulatory pressure and public scrutiny around the spread of misleading financial advice online.
The verification process requires disclosure of the SEBI registration number, organisation name, contact details and confirmation via a one-time code. These credentials, including beneficiary and payer names, will be displayed on the ad itself, offering users real-time transparency. Ads that were active before July 31 can continue running, provided the advertiser account is verified before the deadline.
For advertisers not directly regulated by SEBI such as financial educators, content creators or trainers, Meta has introduced alternate verification methods, including the submission of government IDs or business documents. However, their verified identity will still be publicly displayed on the ads.
This policy shift is a direct response to SEBI’s March advisory, which flagged growing concerns over investor scams across platforms like YouTube, Telegram, Instagram and X. SEBI had also urged all registered intermediaries to register their contact details with the regulator and ensure platform-level ad disclosures. Meta has also signalled that similar verification rules may soon apply to other financial products, expanding the scope of regulation to cover loans, insurance and crypto-related ads.
