A Demat account is primarily used to electronically hold securities and shares. A Demat account is also known as Dematerialized account. In other words, converting or dematerializing your physical shares in the electronic format is known as holding a Demat Account. Demat account is used to hold the shares and securities of publicly traded companies in an electronic form.
All of the Demat accounts in India are maintained by two organizations, namely National Securities Depository Limited (NSDL) and Central Depository Services Limited (CDSL).
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