Revision in entry norms for innovation sandbox by SEBI
The Securities and Exchange Board of India (SEBI) has revised the objectivity and eligibility criteria for its innovation sandbox. Innovation sandbox facilitates access to an environment (testing facilities and test data) provided by enabling organisations like stock exchanges, depositories and qualified registrar and share transfer agents (QRTAs), wherein innovators (sandbox applicants) would test their innovations in isolation from the live market. To promote participation, access would be given to both test data and test environment to financial institutions, financial technology firms, startups and entities not regulated by SEBI, including individuals.
Further, a steering committee comprising representatives from Sebi and the enabling organisations has been formed to drive the innovation sandbox, and which will supervise the operations of the sandbox. It will process the applications submitted by sandbox applicants and approve or reject applications and assign lead enabling organisations. The lead enabling organisations would be responsible for onboarding the applicant postapproval of the application and monitoring the applicant throughout the lifecycle of the sandboxing.