What a demo account is
A demo account lets you trade with practice money inside a trading app. It is a good way to learn the buttons and a poor way to learn the risk. Here is what it can show, what it can't, and what to check first.
RBI press release, checked 20 Oct 2026
Practice money, real screens
A demo account (also called a practice or virtual account) opens with a balance of money that is not real. You use the same screens as a real account: you pick something to trade, choose an amount, place the trade and watch the result. If you lose, you lose practice money, and in many apps you can reset the balance and start again.
Most demos sit inside the same app that offers a real-money account. The demo is often the first thing you see, and the real account is one step away. Keep that in mind: the demo is part of the app's sign-up path, not a separate learning tool.
What a demo can teach you
- The buttons. Where to set the amount, how to close a trade, what each number on the screen means.
- The pace. How fast prices move, and how quickly a small loss becomes a large one.
- Your own habits. Whether you follow a plan or chase losses. Write down every trade and the reason for it.
What a demo cannot show you
- How you behave with your own money. Losing practice money does not hurt; losing your savings does.
- Deposits and withdrawals. A demo never asks you to pay in or take money out, so it cannot show whether a withdrawal will be easy.
- Who runs the app. A smooth demo says nothing about the company behind it or whether it is allowed to offer trading to Indian residents.
A good demo result is not proof that you will make money. With nothing at stake, trading feels calmer and easier than it will with your own money.
What the RBI says about "demo trading"
In its press release of 10 February 2023, the RBI cautioned residents against unauthorised entities that facilitate forex trading through indirect means, including "demo trading" in a "simulated environment". The same release says that its RBI Alert List is not exhaustive: an entity that is not on it should not be assumed to be authorised by the RBI.
So a demo is not a neutral classroom. If the app behind it is not allowed to offer forex trading to Indian residents, the demo is a door into that app.
Before you open a demo
- Find who runs the app. Look for the company name in the app store listing or on the app's own site, not just the brand.
- Check the RBI Alert List. Search it for the app's name and web address: how to check an app. Our labels show what we found and when. For forex demos, see who is behind the demo pages in search.
- Decide what you want to learn. If you want to learn investing in Indian shares, a stock simulator with NSE or BSE prices is closer to that: see Practise with a plan.
- Give the demo an end date. Decide in advance how long you will practise and what result would make you stop, not start.
How we checked
This is a method guide written by our team. We read the RBI press release of 10 February 2023 on its public website on 20 October 2026. We have not opened demo accounts, and the app store listings we read were seen from outside India, so this page names no app and shows no app facts.
Questions
Is a demo account free?
Opening one usually costs nothing. The cost comes later, if the app asks you to deposit real money. Before that step, read Before a deposit.
Does a demo show how the app will treat my real money?
No. A demo cannot show how deposits, withdrawals, charges or support work. Those only appear once real money is involved.
Can a demo account be a way to sell me something?
It can. The RBI has warned about unauthorised platforms that reach Indian residents through "demo trading" in a "simulated environment". That is why we suggest checking the app before you open a demo, not after.
Why does this page not name any app?
We have only read app store listings from outside India, so we cannot confirm what an app shows to someone in India. When we can, the app's label will say so, with the date we checked.
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