SEBI CSCRF Mobile Application Security Requirements Explained: How Bugsmirror MASST Helps You Stay Compliant

The Indian stock market is one of the largest stock markets in the world, regulated by the Securities and Exchange Board of India (SEBI). SEBI not only monitors trading activities but also protects investors by providing clear guidelines and advisory, preventing trading malpractices, and enforcing a code of conduct for financial intermediaries. Building on its core mission of investor protection and market integrity, SEBI introduced the Cybersecurity and Cyber Resilience Framework (CSCRF) guidelines to ensure that Regulated Entities (REs), i.e., companies and individuals operating in the Indian stock market, strengthen the security posture of their digital platforms such as mobile applications. In an increasingly digital financial ecosystem, the resilience of mobile applications has become critical for maintaining operational trust and user confidence.

The REs covered under SEBI's CSCRF guidelines include:

• Alternative Investment Funds (AIFs)
• Bankers to an Issue (BTI) and Self-Certified Syndicate Banks (SCSBs)
• Clearing Corporations
• Collective Investment Schemes (CIS)
• Credit Rating Agencies (CRAs)
• Custodians
• Debenture Trustees (DTs)
• Depositories
• Designated Depository Participants (DDPs)
• Depository Participants through Depositories
• Investment Advisors (IAs)/Research Analysts (RAs)
• KYC Registration Agencies (KRAs)
• Merchant Bankers (MBs)
• Mutual Funds (MFs)/Asset Management Companies (AMCs)
• Portfolio Managers
• Registrar to an Issue and Share Transfer Agents (RTAs)
• Stock Brokers through Exchanges
• Stock Exchanges
• Venture Capital Funds (VCFs)

Table of contents

• Bugsmirror MASST - Fulfilling SEBI CSCRF requirements
• Conclusion

Bugsmirror MASST - Fulfilling SEBI CSCRF requirements

The REs must know, understand, and follow these guidelines to make their mobile apps secure, and how Bugsmirror MASST (Mobile Application Security Suite and Tools) can help them in complying with SEBI guidelines:

1. Challenge-

Mobile applications must perform root detection and root cloaking detection. They must also block app functionality on emulators or virtual devices.

Solution- Bugsmirror Defender’s Device Integrity Security Checks:

• Root Detection: Bugsmirror Defender detects rooted devices and prevents app execution to maintain integrity.
• Root Cloaking Detection: Defender identifies devices using root-hiding tools and restricts access.
• Emulator Detection: Defender prevents apps from running on emulators that could be used for fraud or analysis.
• Virtual Device Detection: Defender identifies and blocks virtual devices, safeguarding against simulation-based attacks.

1. Challenge-

The mobile application must configure policies to detect developer options, USB debugging, mock locations, time setting manipulations, etc.

Solution- Bugsmirror Defender’s OS Integrity and Mobile Fraud Prevention Security Checks:

• Developer Option Detection: Bugsmirror Defender alerts and restricts app usage if developer options are enabled.
• USB Debugging Detection: Defender blocks app operations when USB debugging is active.
• Mock Location Detection: Defender detects mock location settings that could manipulate GPS data.
• Time Settings Manipulation Detection: Defender identifies abnormal time settings that may indicate fraud attempts.

1. Challenge-

Mobile applications must monitor and restrict access when new network connections or unsecured networks like VPNs, proxies, or open Wi-Fi are detected.

Solution- Bugsmirror Defender’s Secure Communication Security Checks:

• VPN Detection: Bugsmirror Defender alerts or restricts app usage when a VPN is detected to avoid data interception.
• Proxy Detection: Defender blocks or notifies when a proxy server is in use.
• Unsecured Wi-Fi Detection: Defender identifies unsecured Wi-Fi networks and blocks activities on them.

1. Challenge-

Mobile applications shall incorporate anti-malware features covering application spoofing, Remote Access Trojans (RATs), screen mirroring, overlay malware, keyloggers, tapjacking, and related threats.

Solution- Bugsmirror Defender’s Anti-app Tampering, Mobile Privacy, and Mobile Fraud Prevention Security Checks:

Application Spoofing Detection: Bugsmirror Defender identifies and blocks cloned or fake applications.
Screen Mirroring Detection: Defender detects screen sharing attempts and prevents fraudulent activities.
Overlay Malware Protection: Defender identifies malicious overlays that may hijack user inputs.
Keylogger Detection: Defender detects and prevents keylogging attempts on the device.
Tapjacking Prevention: Defender blocks invisible taps and unauthorized screen overlays to protect user interaction.

1. Challenge-

Controls to prevent reverse engineering and tampering must be implemented. Additionally, mobile apps must validate their own signature during runtime to verify authenticity.

Solution- Bugsmirror Defender’s Anti-app Tampering Security Checks:

Reverse Engineering Prevention: Bugsmirror Defender protects app code to resist decompilation and analysis.
App Tampering Prevention: Defender detects and blocks tampered or modified versions of the application.
Runtime Signature Validation: Defender validates the application’s signature during runtime to ensure it hasn’t been altered.

1. Challenge-

Mobile applications must perform checksum validation, and the checksum must be published publicly for user verification.

Solution- Bugsmirror Shield’s App Integrity Security Checks:
App Integrity Validation: Bugsmirror Shield verifies the integrity of the application with advanced security checks.

1. Challenge-

Mobile apps must detect active remote access sessions, screen mirroring, ongoing voice calls, etc., to prevent online frauds.

Solution- Bugsmirror Defender’s Mobile Privacy Security Check:
Screen Mirroring Detection: Identifies and alerts if screen mirroring tools are active.

1. Challenge-

Mobile application security measures in the apps must be in line with OWASP MASVS (Mobile Application Security Verification Standard).

Solution- Bugsmirror security solutions are designed in alignment with OWASP MASVS standards, ensuring global best practices for mobile app security.

1. Challenge-

REs should consider deploying containerized apps for exclusive business use, encrypted separately from other smartphone data, and capable of remote wipe if necessary.

Solution- Bugsmirror Guard provides secure local storage using white box cryptography and supports separation of app data for business environments.

By adhering to SEBI’s guidelines, the Regulated Entities can ensure that their mobile apps maintain strong security for sensitive user information and financial transactions.

Conclusion

The SEBI CSCRF guidelines include strict, multi-layered security measures for mobile applications operated by Regulated Entities. Ensuring protection against rooting, network threats, malware, reverse engineering, and unauthorized access is critical for safeguarding operations and customer trust.
Bugsmirror MASST is built to deliver unmatched protection and compliance with SEBI’s security mandates. With a full suite of advanced threat detection, mitigation, and threat visibility capabilities, MASST empowers REs to maintain resilience, security, and regulatory alignment without compromise. MASST has:

• CodeLock for static code analysis of mobile apps
• RunLock for runtime security audits
• APILock for security testing of mobile APIs
• ThreatLock for unmatched Red Teaming assessments
• Bugsmirror Defender for preventing runtime security threats
• Bugsmirror Shield for preventing reverse engineering and IP theft
• Bugsmirror Guard for protecting locally stored sensitive data
• ThreatLens, a dashboard for mobile apps that provides real-time data and advanced analytics on the threats detected and prevented by Bugsmirror Defender

Want to know how much your mobile app complies with the SEBI guidelines? Test your app security for free with Bugsmirror’s Free Runtime Security Audit. Take a 14-day free trial of Bugsmirror Defender to experience unmatched security for your mobile apps.
Ready to secure your mobile applications to meet SEBI CSCRF standards? Contact us today to try Bugsmirror MASST and safeguard your digital future.