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<h1>Regulation 21 caps individual shareholding in depositories at 5%, with exceptions for certain entities up to 15%.</h1> Regulation 21 of the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018, restricts shareholding in a depository. It limits any person resident in India to hold no more than 5% of the paid-up equity share capital, with exceptions allowing certain entities like stock exchanges and banks to hold up to 15%. Similarly, non-residents are restricted to a 5% cap, with specified foreign entities permitted up to 15%. The total foreign shareholding in a depository is capped at 49% of the equity share capital, subject to Central Government regulations.