While Zerodha is seen as one of the most reliable trading platforms, the recent Zerodha Glitch on 04 Dec 2023 has shocked many of its users.
While Zerodha puts it as an intermittent issue with login on Kite, many users reported problems with order placement and squaring off positions, due to which some users have also lost a good amount of money.
The issue occurred on a day when there was massive optimism in the market following the BJP's victory in the three states. Hence, many felt they had missed a big opportunity due to the glitch.
Zerodha Glitch: What Caused It?
Zerodha apologized later that day for the 04 Dec 2023 glitch and explained the reasons behind the glitch. According to Zerodha, the login issue occurred due to a recent update to their IP database over the weekend, which eventually changed the recorded locations of many users. Besides, it stated that the glitch did not impact the Kite mobile users. The trading platform asked affected users to create tickets for the Zerodha customer support team to help them.
Zerodha apologized later that day for the 04 Dec 2023 glitch and explained the reasons behind the glitch. According to Zerodha, the login issue occurred due to a recent update to their IP database over the weekend, which eventually changed the recorded locations of many users. Besides, it stated that the glitch did not impact the Kite mobile users. The trading platform asked affected users to create tickets for the Zerodha customer support team to help them.
Constant Complaints by Zerodha Users on X
Even though Zerodha claimed to have resolved the issue on 04 Dec 2023 itself, many users seemed to have issues throughout the month. We are saying it based on the tweets of various Zerodha users on X. As far as the issues go, most users had issues adding scrips and squaring off their positions. Some users had also reported losing money due to these continuous glitches.
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Zerodha Glitch: 8 Glitches in 2023
December 2023 has been shocking for Zerodha users, considering the 04 Dec 2023 glitch and continued glitches throughout the month. However, what's more concerning is the fact that Zerodha had eight technical glitches in 2023. Now, this is a big question on Zerodha's reliability.
04 Dec 2023: Intermittent issue with login on Kite (NSE, BSE, MCX)
As explained on the Zerodha website, the glitch lasted from 09:18 AM to 09:55 AM with approximately 60000 to 70000 affected clients. During the glitch, users had issues with login to the trading platform on NSE, BSE, and MCX exchanges. The cause for the problem has been stated to be a recent update to their IP database, which changed users' recorded locations.
06 Nov 2023: Issues with display of order and position statuses (NSE, BSE, MCX)
According to Zerodha, the glitch occurred at 09:15 AM, affecting approximately 90,000 to 95,000 clients. During the glitch, users could not view their orders and positions for transactions on NSE, BSE, and MCX. Zerodha explained the cause to be an issue with the position stream on one of its servers.
31 Oct 2023: Issue with positions display (NSE, BSE, MCX)
As per the details shared on the Zerodha website, the glitch started at 09:00 AM, affecting approximately 25000 to 30000 clients. During the glitch, users could not view positions for transactions on NSE, BSE, and MCX. The cause behind the glitch is an issue with the position stream on one of its servers.
07 Jul 2023: Issue with order placement, order modifications, and order cancellations (BSE)
Zerodha states that the incident lasted from 02:47 PM to 03:30 PM for BSE, BFO, and BCD segments, impacting approximately 13,000 to 14,000 clients. During the glitch, users had issues with order placement, order modifications, and order cancellations. The cause of the issue is stated to be a network connectivity issue at OmneNEST's end (exchange empanelled RMS and OMS vendor).
30 Jun 2023: Issue with order placement, order modifications, and order cancellations (BSE)
As per details provided by Zerodha, the glitch lasted from 03:08 PM to 03:22 PM, impacting approximately 4000 to 5000 clients. During the glitch, users weren't able to place, modify, or cancel orders across BSE, BFO, and BCD segments. According to Zerodha, the glitch is caused by a network connectivity issue at Refinitiv's end (exchange empanelled RMS and OMS vendor).
14 Jun 2023: Issue with data feeds (NSE, BSE, MCX)
According to Zerodha, this glitch lasted from 12:40 PM to 12:48 PM, and during the glitch, users couldn't access the real-time data on the platform. However, they were still able to place, modify, and cancel orders. The issue affected an approx of 46000 to 47000. As stated by Zerodha on its website, the issue was caused due to the Airtel P2P line flapping.
27 Apr 2023: Issue with the order placement, order modification, and order cancellation (NSE)
The glitch lasted from 09:36 AM to 09:48 AM, and users couldn't place, modify, or cancel orders during this period. The glitch impacted approximately 26000 to 27000 clients across NFO segments on NSE. As per the details provided by Zerodha, the glitch was caused due to a network connectivity issue at Refinitiv's end (exchange empanelled RMS and OMS vendor).
10 Feb 2023: Issue with the order placement, order modification, and order cancellation (BSE)
This was the first glitch of 2023 and lasted from 12:33 PM to 01:01 PM. The glitch impacted an approx of 9000 to 11000 clients. During the glitch, users on BSE couldn't place, modify, or cancel orders. However, they could still place orders on NSE during the glitch. Zerodha states the cause behind the glitch to be a network connectivity issue at Refinitiv's end (exchange empanelled RMS and OMS vendor).
Conclusion
Technical glitches on a reliable trading platform such as Zerodha are unexpected and disappointing. However, traders, irrespective of any platform, must be cautious, and if you realize that there is something wrong with the trading platform on any day, the next best thing you can do is stop here and check other users' tweets. If other users also report the same issue, it's wise not to trade on that day. You may trade on some other trading platform if you use multiple trading platforms.
If ever you lose money due to such a glitch, don't hesitate to raise a ticket with your trading platform. If you don't get enough support from the trading platform to resolve the issue, you can contact SEBI with screenshots of your customer support conversation.
If ever you lose money due to such a glitch, don't hesitate to raise a ticket with your trading platform. If you don't get enough support from the trading platform to resolve the issue, you can contact SEBI with screenshots of your customer support conversation.
