Peptization is the process responsible for the formation of stable dispersion of colloidal particles in the dispersion medium. In other words, it may be defined as a process of converting a precipitate into a colloidal sol by shaking it with dispersion medium in the presence of a small amount of electrolyte.
Ex: A reddish-brown colored colloidal solution is obtained by adding a small quantity of ferric chloride solution to the freshly precipitated ferric hydroxide.
A precipitate of silver iodide can be peptized by shaking with a dilute solution of silver nitrate or KI.