The finance ministry has allowed nine entities to undertake Aadhaar-based eKYC For some time now, stockbrokers and online mutual fund platforms have been using digital KYC (know your client).
But no two organizations followed the same procedure. Some mutual fund platforms, for example, allowed users to record a video to replace in-person verification (IPV), while most stockbrokers sent a representative to the client’s house or office to get IPV done.
In the wake of the lockdown due to covid-19, the government and capital markets regulator Securities and Exchange Board of India (Sebi) have now moved to ease KYC norms and standardize the process. “Intermediaries have been doing digital KYC for years now.