Can I purchase mutual funds with zerodha balance. Purchasing them through net banking is very tedious. First I have to withdraw balance which will take 1-2 days, then place order for purchase.
Also, is LTGILTBEES not available for pleding now? On Friday, I checked zerodha approved securities list but now it has vanished
No, MF payments go directly from your bank to ICCL without broker or other intermediary. 
You can purchase the equivalent ETFs though! 
I buy MFs directly from concerned AMC websites. They allow UPI payments. Not aware if Zerodha allows that or not
if you buy directly from AMC site, you will not be able to see them in Coin, unless you convert them into demat format - and converting them has charges.
Why would I want to sell on coin when I can sell directly on AMC website free of cost. Selling on coin will attract CDSL Debit charges, STT etc
There are no charges for selling on Coin.
CDSL charges debit of around ₹5 but I think Zerodha pays this bill, so it’s free for you.
STT will be there in non demat mode also
Thanks for clarifying my misconceptions. I rechecked and found you’re correct
I like to keep it in demat.
Unfortunately Pledging limit has been reached there
Which ETF?
Ltgiltbees, ltgiltcase and other gilt related