DP ID in NSDL stands for Depository Participant Identification Number. It is a unique identification number assigned by NSDL (National Securities Depository Limited) to a Depository Participant (DP) such as a bank, financial institution, or brokerage firm. When a customer opens a Demat account with any of these entities, the first 8 digits of the 16-digit Demat account number represent the DP ID representing the Demat account opening institution. The remaining 8 digits represent the customer ID or beneficiary ID. The DP ID is used to identify the DP, while the Demat account number is used to identify the customer.