The Advertising Standards Council of India (ASCI) has called for regulatory clarity on opinion trading platforms amidst growing concerns about such platforms posing as financial risk for consumers. Opinion trading, also known as prediction markets or poly markets or binary trading options, are platforms where individuals can predict on the outcome of future events. Users make monetary bets on binary outcomes, which is either yes or no, of real-world events such as current affairs, football, stocks, basketball, motorsports, tennis, weather and so on.

The self-regulatory industry body said it has come across advertising from both global and local players, as well as influencers on social media that promote opinion trading as knowledge and skill-based games. “However, analysis of such posts reveals that some of these appear to be pure speculation and can pose financial risks — especially for young and financially-vulnerable groups.”

Manisha Kapoor, CEO and Secretary General of ASCI, said, “Opinion trading platforms raise serious concerns as their structure and mechanics closely resemble betting in some instances, and can expose consumers to significant financial risk. The advertising that accompanies these platforms often heightens the risk, with exaggerated claims of easy winnings and false assurances of reliability. No disclaimers cautioning consumers are provided. ASCI’s whitepaper highlights these risks and urges urgent regulatory clarity so appropriate steps can be taken to protect consumers from potential harm.”

As per the National Initiative for Consumer Interest (NICI), these platforms have over 50 million users and transactions exceeding ₹50,000 crore annually.

Regulatory clarity

ASCI has now called for regulatory clarity on the status of such activities in India. While certain countries regulate opinion trading as a financial instrument or under gambling laws, SEBI has cautioned the public in a recent advisory that opinion trading does not fall within its regulated purview.

“If such activities and their advertising are permitted, then certain advertising guidelines need to be developed to safeguard consumers. However, if such activities are not legally permissible, then all stakeholders need to establish mechanisms to monitor any violations of the law. There are several public interest litigations and the Courts are also evaluating its standing in the country,“ ASCI stated in a white paper that examines Opining Trading in India.

Published on May 20, 2025