Sebi cracks down on fantasy game companies and virtual trading platforms, restricts real-time data sharing

The move comes amidst the rising trend of betting, leagues, and transactions on online gaming platforms using real-time data on stock price movements. These games offer winning prizes after paying an entry fee and users compete on who makes the best-performing portfolio linked to the real stock performance.

At least once in a financial year the list of activities and entities using this data will have to be reviewed by the board of market intermediaries, the circular further said.

“Some platforms are even offering monetary incentives based on the performance of the virtual stock portfolio,” Sebi said.

Stock exchanges offer real-time data as a paid service to stockbrokers and subscribers for various market segments. For using market data for educational programmes, the Sebi has directed sharing it with a day’s lag.

“Market price data may be shared for investor education and offering awareness activities without offering any kind of monetary incentive to the participants, with a lag of one day,” said Sebi.