NSDL Unlisted Shares

3. The Depositories Act of 1996 facilitated NSDL’s establishment, addressing the issues of paper-based settlements.

4. NSDL functions as a depository, holding securities in accounts similar to bank accounts, enabling straightforward ownership transfers through account transfers. This system eliminates the risks associated with paper transactions, offering a cost-effective environment.

B) Business Partners and Functions

NSDL operates through various business partners, which include:

1. Depository Participants (DPs): DPs provide depository services to investors on behalf of NSDL. NSDL has expanded from three DPs to a nationwide presence.

2. Issuer Companies and their Registrars and Share Transfer Agents.

3. Clearing Corporations of Stock Exchanges: facilitate the settlement of trades on stock exchanges for dematerialized shares. Major clearing houses are electronically connected to NSDL.

C) Market Presence:

1. Client Accounts: NSDL has over 3.57 crore active client accounts, increased from 2.17 crore in 2021, demonstrating its extensive customer base.

2. Geographic Coverage: NSDL operates in 2,048 cities and towns, with a presence in 99.31% of all pincodes, reflecting its nationwide coverage.

3. Market Influence: NSDL manages a demat custody value of ₹423.44 lakh crore (approximately US$ 5079 billion), showing its significant impact on the Indian capital market. It has 281 DPs and has joined 46,015 companies. Since November 1996, has averaged 5,270 new accounts opened daily.

4. Number of Depository Participants (DPs): NSDL has a network of 281 DPs, showcasing its extensive partnerships.

5. Number of Companies Joined: NSDL has on boarded 46,015 companies, reflecting its wide industry integration.