The Parliamentary Standing Committee has officially sent its detailed report to Parliament on the Securities Markets Code, 2025; it has endorsed the fundamental changes to the country’s stock market code and proposed that the Securities and Exchange Board of India (SEBI) structure be more professionalised and accountable. The new code would repeal three foundational statutes of the market and securities laws, the Securities and Exchange Board of India Act 1992, the Securities Contracts (Regulation) Act 1956, and the Depositories Act 1996. The major goal is to rationalize, harmonize, and reform securities laws and to reflect the lessons learned from decades of experience and landmark decisions by the courts in the securities business and the financial sector.
Mr. Bhartruhari Mahtab, chairman of the Parliamentary Standing Committee on Finance, said the code is a combination of a number of historical acts which are aimed at making it easier for the law and investors to conform. Mahtab told ANI that with the increasing number of small retail investors entering the securities market, the committee would have to be focused on maintaining the security of the common people. In line with this investor-centric focus on the legislation, the committee has recommended extending the cooling-off period for the regulatory and key personnel to two years instead of one year as proposed in the draft bill.
Industry perspectives on Virtual Digital Assets. The legislative overhaul has also been positively received by the emerging financial technology and digital asset sectors. In the conversation on Times Now, the bill for Virtual Digital Assets (VDAs) has been endorsed by CoinSwitch Co-founder Ashish Singhal. He particularly mentioned the concept of having an interim regulatory mechanism managed through a recognized Self-Regulatory Organisation with robust regulatory controls that is in place for an interim system within an institution, which will be very practical and is something that we would like to have as a step in the direction of the full legislative body on virtual digital assets. It’s very pragmatic and will be the approach to address the existing legislation and bring this forward.
The digital asset industry has always pushed for a balanced, risk-based regulatory system to protect retail investors and to be responsible for technological innovation, he said, as well as ensure their safety. An SRO-led governance model will enhance both accountability and investor safety in this transition phase, he said. In the process, all of our partners in the financial industry are looking forward to working with governments to develop a secure and transparent digital economy in India as the Securities Markets Code is closer to finalization.
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