End Of The Party For Finfluencer? Analysing SEBI’s Regulatory Crackdown On Finfluencer

Ssowmiya Narayan M, School of Law, Christ Deemed to be university

ABSTRACT

This research paper investigates the transformative role of social media platforms as essential communication tools in the post-pandemic world, with a specific focus on the burgeoning influence of financial influencers, colloquially known as influencers. The paper seeks to elucidate the associated risks stemming from the reliance on influencers for financial advice, critically examines the deficiencies inherent in the current regulatory framework in India, and comprehensively evaluates the proposed measures put forth by the Securities and Exchange Board of India (SEBI) to effectively address these challenges. Furthermore, the study conducts a meticulous cross-jurisdictional analysis, drawing comparisons between regulatory approaches worldwide, and recommends a holistic framework tailored to the Indian context, aiming to regulate influencers judiciously while maintaining a delicate balance between investor protection and the preservation of free speech.

Keywords: Due Diligence, Ethical Practices, Finfluencers, Financial Communication, Financial Education, Financial Literacy