To cause to become or appear immaterial or incorporeal; to make something disappear or vanish. The magician was able to dematerialize the coin right before our eyes.
To disappear or cease to be physically present. The ghostly figure seemed to dematerialize as soon as the lights were turned on.
(Finance) To convert physical securities, certificates, or assets into an electronic or non-physical form. Most stock exchanges now require companies to dematerialize their shares before listing.