11 May 2026
SEBI proposes new framework for crowdfunding regulation
UPSC
Banking
Economy
Summary
SEBI released a consultation paper proposing a regulated framework for equity crowdfunding in India. Caps: ₹10 crore raise/year, ₹2 lakh per individual investor. Aimed at startups and SMEs without traditional VC access.
Why it matters
UPSC GS-3 (Economy), Banking. Connect with startup ecosystem, Atal Innovation Mission, alternative funding mechanisms (AIFs, P2P lending).