Deepak Shenoy, Founder of Capitalmind, and Sudhakara Reddy, Associate Professor at IIM-Calcutta, delve into SEBI's recent regulations on Futures and Options trading. They discuss the shift towards tighter restrictions aimed at protecting retail traders, highlighting the alarming rise in retail participation and significant losses incurred. The duo explores the macroeconomic implications of these changes, including liquidity concerns and the trend of funds moving to riskier bets, emphasizing the urgent need for enhanced financial literacy in this evolving landscape.