NPCI Introduces UPI In Stock Market, For Faster & Simpler Trading Experience
The National Payments Corporation of India (NPCI) is introducing something called 'UPI for Secondary Market' from January 1, 2024. This is a big step in how you buy and sell stocks. Imagine UPI, the system we use for quick payments. It's now going to be used for trading stocks in the market. But first, they're testing it with a small group of people to see how well it works. Here's what's happening, when you want to buy stocks, you can use UPI to block some money in your bank account. This money stays in your account until your stock trade is confirmed. When the trade is done, that money is used to pay for the stocks. If you sell stocks, the money you get will be sent to your account the next day. This new system is like ASBA, a method used when people apply for IPOs. It's been really helpful in making the process of buying new shares faster and simpler. In this trial phase, people with HDFC Bank and ICICI Bank accounts can try it out. The trading app Groww ...
