SEBI's Common Advertisement Code: The Contract Ends. The Internet Remembers

 SEBI Common Advertisement Code – Digital Trust Reflection 2

Published: July 04 2026

When Does a Celebrity Endorsement Really End?

This is more important as digital medium is the most common information source now, than print media.

 

By Nayakanti Prashant

3rd Gen Banker & Citizen Lobbyist – Bengaluru

Every trusted digital transaction begins with a trusted digital interaction.

 

It happens in just a few seconds.

 

A notification appears.

 

A familiar face catches your attention.

 

A short video begins to play.

 

A social media post appears in your feed.

 

You pause.

 

You watch.

 

You trust.

 

Perhaps you don't invest immediately.

 

Perhaps you return days later.

 

Or even months later.

 

But somewhere...

 

that first digital interaction has already begun influencing your next digital transaction.

 

Long before an investor opens a trading account, subscribes to a mutual fund or engages with a SEBI-regulated intermediary, trust often begins with these seemingly ordinary digital interactions.

 

Viewed from this perspective, SEBI's proposed Common Advertisement Code (CAC) is much more than an advertisement framework.

 

It is about strengthening trust at one of the earliest digital touchpoints between a regulated entity and an existing or prospective investor.

 

The consultation paper introduces its principal proposals under Section 6, including Section 6(A) – Celebrity Endorsements and Section 6(B) – Post-Issuance Reporting, before presenting the proposed Common Advertisement Code under Section 7.

Please today digital is the most interactive medium now.

The print media is still live, but in a very niche area.

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Digital Trust Reflection 2 of 4

Consultation Paper Focus

 

• Section 6(A) – Celebrity Endorsements

• Section 6(B) – Post-Issuance Reporting

• Section 7 – Proposed Common Advertisement Code

• Clause 7(6) – Celebrity Advertisements

 

Previous Reflection

 

• Digital Trust Reflection 1

  Clause 7(2)(vii) – Virtual Characters as Celebrities. TO ADD

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Now imagine this...

A celebrity signs a one-year endorsement agreement.

The campaign is everywhere.

Television.

Social media.

Websites.

Search engines.

The same familiar face.

The same reassuring smile.

The same message.

 

Months later...

The contract quietly comes to an end.

No announcement.

No farewell.

Life moves on.

Or does it?

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The Contract Ends.

The Internet Remembers.

 

A year later...

An investor searches online.

The advertisement still appears.

Someone shares the old campaign.

A search engine still indexes it.

The celebrity still appears.

The investor sees no expiry date.

No indication that the endorsement has ended.

Only the advertisement remains.

The contract has ended.

The advertisement hasn't.

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But the Investor Sees Only One Story.

 

The investor usually does not know

• when the endorsement began,

• when it ended,

• whether it was renewed,

• or whether the regulated entity still stands behind that endorsement.

 

The investor simply experiences another digital interaction.

And that interaction may continue influencing a future digital transaction.

Contracts have expiry dates.

Digital influence often doesn't.

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A Reflection

My previous reflection explored SEBI's proposed definition of "Celebrity", particularly Clause 7(2)(vii), which includes virtual characters.

 

As I continued reading the consultation paper, another thought emerged.

 

Section 6(A) discusses celebrity endorsements.

 

Section 6(B) proposes post-issuance reporting.

 

Clause 7(6) sets out the framework governing celebrity advertisements. :contentReference[oaicite:2]{index=2}

 

Reading these provisions made me wonder...

 

The consultation paper thoughtfully considers how celebrity advertisements begin.

 

Could the consultation process also consider how their digital influence concludes?

The Lifecycle of Digital Trust

 

In the era of newspapers and television, advertisements gradually disappeared.

In the digital world, they often remain discoverable for years.

Perhaps governance should evolve too.

 

Not merely...

Advertisement Approval.

 

But also...

Advertisement Lifecycle Governance.

 

Because digital trust itself has a lifecycle.

Conclusion

 

The first reflection asked:

 

"Who is a Celebrity?"

 

Today's reflection asks:

"When does a celebrity endorsement really end?"

The answer may no longer depend only on the contract.

It may increasingly depend on the digital journey of the advertisement itself.

Perhaps the consultation process presents an opportunity to think beyond how celebrity advertisements begin—and also consider how their influence concludes in an increasingly digital world.

Because...

Every trusted digital transaction begins with a trusted digital interaction.

 

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Next Reflection

Digital Trust Reflection 3

Who Owns a Virtual Celebrity?

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Disclaimer

These are the author's personal reflections on SEBI's Consultation Paper on the Common Advertisement Code for Specified SEBI Regulated Entities.

The proposals remain under public consultation and do not represent SEBI's final regulatory position.

The ultimate destination is April 11 – Digital Transactions Day

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The Joy of Digital Transactions

Nayakanti Prashant
3rd Gen Banker & Citizen Lobbyist – Bengaluru
Digital Transactions Day (April 11)

 

Author’s Blogs

https://prashantrandomthoughts.blogspot.com
https://prashantnepayments.blogspot.com
https://innovationinbanking.blogspot.com