The majority of plans require the potential investor to become a registered shareholder, as opposed to a beneficial shareholder. Registered shareholders are direct owners of company stock and are listed with a company's transfer agent, whereas beneficial shareholders hold their stock through a proxy, such as a brokerage account or an investment dealer. In the past, this meant having to keep stock certificates as proof of ownership, but now most plans are in paperless, "book-entry" format. In Canada, you must start a DRIP with a certificate and, as such, Canadian enrollees must have the share certificates to do so. All subsequent shares acquired through the DRIP or SPP would be in "book-entry" format.