Create understanding-sebi's-latest-algo-trading-guidelines.md

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+---
+date: '2025-02-07'
+title: Understanding SEBI's latest Algo trading guidelines
+tags: [regulations]
+author: nithin
+link: https://x.com/Nithin0dha/status/1887728902984048808
+post_type: tweet
+description: The exchanges will...
+
+---
+
+The SEBI circular on API usage and algo trading is out. What you need to know:
+
+If you’re a retail trader using broker APIs to automate trades, you can do so as long as your order frequency is below an exchange-prescribed threshold. This limit is yet to be decided.
+
+If you’re selling algos or strategies to other traders, you’ll need to partner with a broker and get yourself registered with the exchanges to do so.
+
+Marketplaces where people share algos for a fee can’t publish strategies without exchange registration as well as an RA license.
+
+The exchanges will publish their own circulars with operational details by April 1.
+
+Link to the full post explaining this [here](https://zerodha.com/z-connect/featured/explaining-the-latest-sebi-algo-trading-regulations).