You will not be able to login into your Demat account from October 1 if you do not do this important work.
If you are a demat account holder and through this you buy and sell shares in the stock market, then there is important news for you. According to the circular issued by the National Stock Exchange (NSE) on June 14, it is mandatory for demat account holders to enable two-factor authentication by September 30, 2022. Otherwise, you will not be able to log in to your account. Online stockbroker Zerodha has said on its website, “As per the new exchange rules, it is mandatory to enable TOTP 2Factor login in your account before September 30th, 2022. Otherwise, you will not be able to log in to Kite (its in-house online trading platform).
What NSE said in its circular
“Members may use biometric authentication as one of the authentication factors for logging in to their demat account,” the circular said. Another approach could be the “knowledge factor,” which requires something in the form of a password or PIN that only the user knows. In addition, there may be a “possession factor”. Its access is limited only to the user. One-time password (OTP), security token, or authenticator apps on a smartphone or desktop, for example.Customers will get OTP through both email and SMS. In cases where biometric authentication is not possible, the members will have to use the Knowledge Factor (Password/PIN), Possession Factor (OTP/Security Token) and User ID as per the circular.
Zerodha’s statement
Online stockbroker Zerodha said on its website, “As per the new exchange rules, it is mandatory to enable TOTP 2Factor login in your account before September 30th, 2022. Otherwise, you will not be able to log in to Kite (its in-house online trading platform). TOTP stands for Time-Based One-Time Password. Zerodha said that this TOTP will only be valid for a short period of time — usually 30 seconds. It can be re-generated every 30 seconds.
How to Enable Two-Factor Authentication in Your Demat Account
As per the circular, biometric authentication will be used with a password/PIN or OTP/Security Token. However, where biometric authentication is not possible, login to demat accounts will be permitted using a password/PIN along with an OTP/Security Token. Users will have to enter OTP and PIN. Biometrics will be used along with OTP or PIN in the case of mobile login. According to Zerodha, a person needs to download one of the below mentioned apps on his PC or mobile phone to get TOTP:
Google authenticator
Microsoft Authenticator
Authy
Last Pass Authenticator
Bitwarden
