Dabba Trading Meaning
Dabba trading is an illegal trading practice where stock market transactions take place outside the official stock exchanges like NSE and BSE. Instead of executing trades through a regulated broker, traders place bets on stock price movements through unregistered operators, creating a parallel market.
How Dabba Trading Works
Traders bet on stock price movements instead of buying or selling actual stocks.
Transactions are handled in cash or cryptocurrency, bypassing SEBI regulations.
The operator manages the trades internally, often leading to manipulation and fraud.
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