Question:
__________ is the process of holding securities in an electronic form.
__________ is the process of holding securities in an electronic form.
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Dematerialization replaces physical certificates with electronic records to improve efficiency and safety in trading.
Updated On: Jul 14, 2025
- Rolling Settlement
- Registration
- Dematerialization
- Depository
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The Correct Option is C
Solution and Explanation
Dematerialization is the process through which physical share certificates are converted into electronic format and stored in a demat account. This makes trading faster, reduces paperwork, prevents fraud, and increases transparency. Unlike registration (which is just the recording of ownership) or a depository (which holds securities), dematerialization refers specifically to the conversion process itself.
textbf{Final Answer:} (C) Dematerialization
textbf{Final Answer:} (C) Dematerialization
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