Zerodha CEO Clarifies INR 5 Crore Daily Withdrawal Limit After User Calls It a ‘Scam’
Zerodha CEO Nithin Kamath has responded publicly after a user, Dr Aniruddha Malpani, faced issues withdrawing funds and labeled the platform’s policies a “Zerodha scam.” Kamath confirmed the user’s payment was processed and explained the necessity of the INR 5 crore daily withdrawal limit.
Key Takeaways
- Zerodha enforces a standard INR 5 crore daily withdrawal limit for all clients.
- Higher withdrawals require raising a support ticket for manual processing.
- CEO Nithin Kamath confirmed Dr. Malpani’s payment was successfully processed on November 3.
User Raises Concerns Over Fund Access
Dr. Aniruddha Malpani took to social media to express frustration, stating the trading platform prevented him from withdrawing his own money and alleging, “They use my money for free!” He highlighted the INR 5 crore daily cap on fund withdrawals from his account.
CEO’s Explanation of Security Measures
Responding directly, Nithin Kamath explained the rationale behind the limit. “We need to ensure, for the sake of our systems’ sanity (like all other financial services firms), that we have some checks in place when clients withdraw funds,” he said.
Kamath elaborated that numerous potential issues could arise during the withdrawal process. Crucially, he noted that once funds are withdrawn, there is no way to recover them. Therefore, Zerodha maintains the INR 5 crore threshold as a security measure, requiring customers to contact support for larger amounts.
