Your securities, including shares, bonds, mutual funds, and other financial instruments, are held in digital form on an electronic account known as a Demat (Dematerialized) Account. This eliminates the need for physical certificates. The stock market regulator, the Securities and Exchange Board of India (SEBI), states that opening a Demat account is required for this purpose. You are not, however, permitted to register a Demat account if your goal is to trade futures and options.