SEBI has introduced a new regulatory framework for retail algo trading, which will come into effect on April 01, 2026. These changes apply to users running automated trading strategies using the FYERS API or third-party platforms.
Under the new framework, the following changes will apply:
• Static IP requirement: Orders will only be accepted from a registered App ID mapped to a whitelisted static IP address.
• Daily 2FA authentication: Users will need to complete 2FA once every trading day. Continuous refresh-token sessions will no longer be supported.
• Order rate limit: A maximum of 10 orders per second will be allowed.
• Market orders: Market orders will be automatically converted to MPP (Market Price Protection) orders.
• Third-party platforms: External platforms must be empanelled and hosted within the broker’s infrastructure to continue placing orders.
Note: The current framework and the new framework will run in parallel until March 31, 2026. Users running automated strategies are advised to update their setup before the deadline to avoid disruption.
Alternatively, you can run strategies using FYERS Automate on FYERS Web, which operates within FYERS infrastructure and complies with the new regulatory framework. To learn more about Automate, refer to this blog.
For more details, refer to this blog.