KYC Onboarding Specification

Disclaimer

This documentation was generated using Claude Code, an AI-powered LLM (Large Language Model) by Anthropic, as a research and capability estimation exercise. AI models can and do hallucinate — any information presented here may be inaccurate, incomplete, or outdated. Any resemblance to or overlap with the products, documentation, or intellectual property of any specific vendor, organization, or individual is purely coincidental and unintended. This project is not directly inspired by any particular product, vendor, or proprietary system, and no plagiarism is intended. All content is based on publicly available information, regulatory circulars, and vendor documentation that is freely accessible on the internet. This is not legal, financial, or compliance advice. Always verify with official sources before making any business or compliance decisions.

Welcome to the KYC (Know Your Customer) onboarding specification. If you are new to the firm, this is the single most important system you need to understand. Every customer who wants to buy their first share, place their first F&O order, or simply open a demat account must pass through this gateway. Think of it as the bridge that transforms a stranger on the internet into a verified, regulation-compliant client who is authorized to trade on Indian stock exchanges. By the time you finish reading these docs, you will understand exactly how that transformation happens — from the moment a user enters their mobile number to the moment their signed application reaches NSE, BSE, CDSL, and NSDL.

What Is This?

A complete technical specification for stock broking KYC onboarding — covering the regulatory data collection workflow, identity verification via government sources, batch submissions to KRA/CKYC/exchanges/depositories, maker-checker admin workflow, and full SEBI (Securities and Exchange Board of India) / KRA (KYC Registration Agency) / CKYC (Central KYC) regulatory compliance. Built for an Indian stock broking firm enabling individual customers to complete KYC onboarding and begin trading.

Where to start

If you are a new engineer, start with the User Journey section. Walk through all 9 screens in order. That will give you the clearest mental model of what the customer experiences and what the system does at each step. Come back here afterward to explore the architecture, vendor integrations, and operations sections.

Who Is This For?

Whether you are building features, integrating vendors, or answering compliance queries, there is a reading path for you.

Product Managers

Understand the end-to-end user experience: multi-step identity verification and regulatory data capture.

Start: Journey Overview → Step-by-Step Flow → Design Principles

Engineers

API specs, field mappings, async patterns, batch file formats, and error handling.

Start: Flow Summary → Vendor Integrations → Batch Pipeline

Compliance Teams

SEBI circulars, KRA/CKYC dual upload, 6-attribute matching, FATCA/CRS, audit trails.

Start: Regulatory Circulars → 6-Attribute Matching → Audit & Compliance

Vendor Integration

Vendor comparison tables, recommended stack, pricing, and implementation checklists.

Start: Vendor Strategy → KRA → CKYC → Exchanges

The diagram below shows the complete onboarding flow. Spend a minute studying it — every box corresponds to a section in these docs.

Onboarding Flow

Complete Onboarding Flow — 9 Screens + Maker-Checker + Batch Pipelines

Here are the key dimensions of the system, derived from SEBI regulatory requirements and the KRA/CKYC/exchange/depository submission mandates.

At a Glance

Multi-Step Identity Verification

Mobile OTP → PAN verification → Government identity source (DigiLocker/Aadhaar) → identity confirmation → bank verification → trading preferences → nominations → declarations → eSign.

Comprehensive KYC Data Capture

Government identity sources (DigiLocker, KRA, CKYC) provide pre-verified identity and financial data, minimizing manual data entry errors per SEBI KYC norms.

Identity, KRA, Exchange & Depository Integrations

PAN verification (NSDL/Protean), KRA agencies, CKYC (CERSAI), DigiLocker, eSign, AML screening, biometric verification, exchanges (NSE/BSE/MCX), and depositories (CDSL/NSDL). See Vendor Integrations for implementation options.

8 Regulatory Batch Pipelines

KRA, CKYC, NSE, BSE, MCX, CDSL, NSDL, and Income pipelines run asynchronously after maker-checker approval per SEBI dual-control requirements.

Why so many vendors?

Indian securities regulation requires identity verification through multiple independent sources — PAN through NSDL/Protean, KYC status through KRA agencies, central identity through CKYC (CERSAI), and document verification through DigiLocker. No single vendor covers all of these. The vendor strategy section explains how we stitch them together.

Documentation Structure

The table below maps each section to what you will find inside. Use it as a reference whenever you need to locate a specific topic.

Section	What You’ll Find
Architecture	Regulatory design principles, onboarding flow overview, data source mapping, security requirements
User Journey	Detailed specification for each onboarding step with SEBI-mandated data capture requirements
Vendor Integrations	Deep-dive specs for identity, KRA, eSign, AML, exchange, and depository integrations
Operations	Batch pipelines, exchange registration, 6-attribute matching, admin workflow, status machine
Reference	Full 454-field master dataset, code tables, regulatory circulars, cost analysis, architecture diagrams
Appendix	Non-individual entities, NRI flows, minor/joint accounts, vendor roadmap, communications

Regulations change frequently

SEBI issues circulars throughout the year that can alter KYC requirements, field formats, or compliance deadlines. The regulatory references below are current as of this writing, but always cross-check with the Regulatory Circulars page and the official SEBI website for the latest updates.

Key Regulatory References

These are the circulars and regulations that govern everything in this specification. You will see them referenced throughout the docs. Bookmark this table — you will come back to it often. For the full list of 37+ circulars with official links, see the Regulatory Circulars page.

Regulation	Reference
SEBI KYC Master Circular	SEBI/HO/MIRSD/MIRSD-SEC-2/P/CIR/2023/168 (Oct 2023)
KYC Process & Technology (Online KYC, VIPV)	SEBI/HO/MIRSD/DOP/CIR/P/2020/73 (Apr 2020)
KYC Simplification at KRAs	SEBI/HO/MIRSD/FATF/P/CIR/2023/0144 (Aug 2023)
PAN-Aadhaar Linking Relaxation	SEBI/HO/MIRSD/SECFATF/P/CIR/2024/41 (May 2024)
Dual KRA + CKYC Upload	SEBI/HO/MIRSD/SECFATF/P/CIR/2024/79 (Jun 2024) — mandatory since Aug 2024
FATCA/CRS Centralization at KRAs	SEBI/HO/MIRSD/SECFATF/P/CIR/2024/12 (Feb 2024) — mandatory since Jul 2024
AML/CFT Guidelines	SEBI/HO/MIRSD/SECFATF/P/CIR/2024/78 (Jun 2024)
DDPI replacing POA	SEBI/HO/MIRSD/DoP/P/CIR/2022/44 (Apr 2022) — mandatory since Nov 2022, optional for clients
Nomination Revamp (up to 10 nominees)	SEBI circular (Jan 10, 2025) — video verification for opt-out
DigiLocker for Demat Holdings	SEBI/HO/OIAE/OIAE_IAD-3/P/CIR/2025/32 (Mar 2025)
SEBI Stock Brokers Master Circular	SEBI/HO/MIRSD/MIRSD-PoD/P/CIR/2025/90 (Jun 2025)
SEBI Stock Brokers Regulations 2026	SEBI/LAD-NRO/GN/2026/291 (Jan 7, 2026) — replaces 1992 regulations
Client Fund Upstreaming	SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/84 (Jun 2023)
UPI Block Mechanism (QSBs)	SEBI consultation paper (Aug 2024) — mandatory from Feb 1, 2025
T+0 Settlement	SEBI/HO/MRD/MRD-PoD-3/P/CIR/2024/20 (Mar 2024) — expanded to top 500 stocks Dec 2024
e-KYC Setu (NPCI)	SEBI press release (Jun 2025) — Aadhaar e-KYC without AUA/KUA license
UPI AutoPay Rs 1 Lakh Limit	RBI/2023-2024/88 + NPCI/UPI/OC-151A (Dec 2023) — MCC 6211 securities brokers
Account Aggregator Master Direction	RBI/DNBR/2016-17/46 (Sep 2016, updated Sep 2024)
DPDP Act 2023 + Rules 2025	Notified Nov 13, 2025 — full compliance deadline May 2027
KYC Onboarding Consultation Paper	SEBI (Jan 16, 2026) — proposes centralized KYC, 5-year review cycle