SEBI asks investment advisors to refrain from dealing in digital gold
The Securities and Exchange Board of India (SEBI) announced that investment advisors are barred from advising on unregulated instruments.
This came after SEBI noted that some registered investment advisers are engaged in unregulated activity by providing a platform for buying, selling or dealing in unregulated products including digital gold. SEBI further said any dealing in unregulated activities by investment advisers may entail action under the SEBI Act and regulations framed thereunder.
In August, the National Stock Exchange (NSE) had directed its members, including stockbrokers, to discontinue the sale of digital gold on their platforms by September 10. The direction came after the capital markets regulator noted that certain members are providing a platform to their clients for buying and selling digital gold.