IFSC hits Refresh: Draft ETP Norms unleashes borderless trading ecosystem

Brief Overview:

IFSCA to have a standalone framework on Electronic Trading Platforms (ETPs) in GIFT IFSC.

It introduces a formal licensing regime, enhanced governance standards, and broader product coverage.

Comments are invited till 18th March 2026.

Technical Details:

1) Key Highlights of the Draft norms

(a) Authorisation-based regime

(i) ETPs may operate only with prior IFSCA authorisation.

(ii) Exception for ETPs operated by IBUs trading on own account and acting as counterparty.

(b) Expanded product coverage

(i) Enables trading in securities, money market instruments, derivatives, and other permitted products, subject to approval.

2) Previously, the erstwhile 2018 RBI ETP Directions were adopted and IBUs were permitted to undertake trades on ETPs without the need for such ETP to be a company incorporated in India.

Takeaways:

Yet again a strong signal of IFSCA’s intent to attract offshore liquidity and global ETP operators to GIFT IFSC.

For further details, please see:

Draft IFSC ETP Directions

For any queries/clarifications, please feel free to ping us and we will be happy to chat:
Smrithi Nair ,Mahak Saboo & Kshemya Nair

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