2.10What is CDSL?
1What is it?
CDSL (Central Depository Services (India) Limited) is India’s second depository, set up in 1999, originally promoted by BSE.
2Why does it exist?
A second depository gives competition and choice. Many discount brokers use CDSL, and it has the larger number of demat accounts.
3Stock market example
CDSL demat IDs are 16 digits. CDSL is itself a listed company, so you can see its share price on NSE as CDSL.
4Quick revision
- CDSL was set up in 1999.
- 16-digit numeric demat IDs.
- Has the most demat accounts; it is listed itself.
5Knowledge check
Q1. Which depository was promoted by BSE?Show answer
CDSL.
Q2. How long is a CDSL demat ID?Show answer
16 digits.
Q3. Are your shares safer in NSDL or CDSL?Show answer
Both are regulated by SEBI and equally safe.
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