It should be possible to trade in intraday cash/futures using it (Mentioned in a support page) -
The margin received from pledging i.e. collateral margin can be used for trading Equity Intraday, futures & options writing.
But not for overnight F&O positions -
Exchanges stipulate that for overnight F&O positions, 50% of the margin needs to compulsorily come in cash and the remaining 50% can be in terms of collateral margin.
Also check this thread