The Multi Commodity Exchange of India Limited (MCX) on June 12, 2026, issued circular on Guidelines in pursuance of amendment to SEBI KYC (Know Your client) Registration Agency (KRA) Regulations, 2011.
In continuation of SEBI guidelines and MCX circulars on KYC simplification and risk management under the KYC Registration Agency (KRA) framework, members are required to ensure that clients comply with KYC validation requirements. The circular reiterates the importance of maintaining validated KYC records in line with regulatory norms to ensure seamless trading and risk mitigation.
It has been notified that clients whose KYC status remains unvalidated or marked as “On Hold” by KRAs (for both Aadhaar and non-Aadhaar based Officially Valid Documents) for the period from May 01, 2026 to May 31, 2026 will not be permitted to trade on the Exchange. Further, such clients will also not be allowed to square off any open positions with effect from June 29, 2026 until their KYC status is duly validated. Any existing positions will be allowed to expire as per the respective contract expiry.
The Exchange will share the list of such non-validated clients with members via their designated email IDs. Once the KYC status of such clients is validated, trading access will be restored on a T+1 basis based on information received from KRAs.
Members are advised to strictly ensure that non-compliant clients are not allowed to trade and to actively monitor any open positions held by such clients. Necessary steps should be taken to remain compliant with the regulatory framework and avoid any potential risks arising from non-validated KYC accounts.
[Circular no.: MCX/S&I/346/2026]
