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Nithin Kamath responds to Redditor on Zerodha's journey: ‘We came from middle-class background, no rich uncles’
In a long X post, Nithin Kamath explained that Zerodha’s success wasn’t overnight but the result of nearly 25 years in the markets.
Zerodha co-founder and CEO Nithin Kamath recently took to X to share a candid reflection on how his brokerage company built its reputation and profitability over 15 years. Kamath was responding to a Reddit question about what makes Zerodha different, how it is profitable, and why it hasn’t gone for an IPO. In a long post, Kamath explained that Zerodha’s success wasn’t overnight but the result of nearly 25 years in the markets.
“So you forget that we have spent 15 years getting here. And maybe another 10 years, before Zerodha, I was involved in the markets in some form. So, 25 years in all. Things in business compound over time, especially if you love what you are doing and are lucky to be in the right place and time,” he wrote.
He recalled how Zerodha began as a partnership firm to save on exchange deposit requirements. Initial costs were modest - about ₹10 lakh in total, which covered a basic website, office interiors and other expenses. “We came from an extremely middle-class background and had no rich uncles. Dad was a bank manager and Mom taught Veena,” Kamath noted.
Zerohdha’s success story
The rise of Zerodha, he said, coincided with the rise of India’s markets. More importantly, the firm has deliberately stayed away from outside investors. “We were present at the right place and time with the right products and initiatives. Any gyan any founder gives, eventually comes down to getting timing right, and this has got everything to do with luck,” he said.
“Now that there is no pressure to give any exit to any investor, we can continue doing what is right for the customer, sometimes even at the cost of the business,” he wrote, citing Zerodha’s no spam, no tracking policy.
“I believe that the philosophy with which we run Zerodha will be our real moat as a business. It is very tough to stick to it as a public company,” Kamath concluded.
Also Read: Nithin Kamath reacts to hilarious video from China comparing Zerodha’s ‘Nudge’ feature to robot scare. Watch
How did social media react?
Kamath’s post resonated widely online, with users lauding Zerodha’s values.
“It’s true, I can vouch for it. When I was trading in Zerodha I got zero spam calls. I shifted to Angel One in between and I have to literally change my number now. Thanks for maintaining your integrity,” one user commented.
Another wrote, “Well said, Nithin. Being out there, doing right and surviving long enough for luck to do its trick!”
“Hardwork is mis-attributed to luck by naysayers. Not giving up is a skill learnt the hard way. Cheers to many more decades and supporting along the way,” expressed a third user.
“One of the greatest stories of our times, Nithin! The fact that you are so humble makes it even better!” said another.
