Your question is a valid question. MIS margin given by any broker is 100% risk for him, the more margin you give to your customers, more risk broker is taking in terms of market volatility. In Technical terms, this is extra money poured by your broker for your intraday trading with no benefit.
In short, Zerodha has taken a advantage of SEBI circular which is applicable for overnight trading and change Intraday margin policy also.
If I think from company prospects, they want to reduce risk, want to reduce company capital for intraday margin.
From customer point of view, as they have grown bigger and established in market as brand name, they are coming up with cost-saving mode.
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