If we analyze recent years investment options, digital gold India topped the list of countries that imported the most gold in the world.
Indians also use gold as an investment tool. However, gold does not have to be bought directly in metal form as in the past. Gold bonds, ETFs and digital gold can be invested in many ways.
Investment plans in India: The new generation of youngsters is interested in investing in digital gold. Let's see what digital gold means!
What is Digital Gold means
As the name implies you have no physical gold. The gold you buy can be virtually deposited in an online account. Every time the money is paid i.e (digital gold investment), the sellers buy the gold and keep it with them.
Why digital gold investment popular
Investment options generally, buying gold in metal form requires at least Rs 5,000 in the current scenario. Less than that is difficult. But that is not the case with digital gold. Gold worth one rupee can also be bought.
Is digital gold a good investment: Digital Gold does not have such problems these days as it is difficult to spot counterfeits. Also, if we have gold in metallic form we should always be vigilant. But, there are no such problems with digital gold.
The sellers buy the gold on our behalf and keep it safe. There is also an insurance facility. Moreover, their prices are linked to the international market. This will have no effect on local developments on prices. Presented to you in metallic form when you wish.
Digital Gold Mortgage for Online Loans. It is for these reasons that digital gold has become extremely popular in recent times.
Who is selling digital gold
In India, companies like Digmont Gold are sold by Augmont Gold Limited, MMTC-PMP India Pvt Ltd and Digital Gold India private limited.
Fintech companies such as Paytm, PhonePay, GooglePay, AmazonPay, Bajaj Finserv, as well as PSD retailers such as Tanishq and PCJ are bringing these companies' services closer to consumers.
Apart from these, various mobile wallets, distributors and investment platforms also distribute the digital gold products of the above three companies. In a way these companies act like digital 'gold' distribution systems.
This is the new rule of SEBI.
So far, stockbroking companies, including FinTech, have also brought digital gold closer to consumers. But, SEBI has ruled that it will not be possible from 2021 September 10th.
The Securities Contracts Rules, 1957 make it clear that digital gold cannot be recognized as a security. SEBI has said that controlling the sale of digital gold does not fall within its purview. In this context, the companies under their control should stop these sales.
The condition of those who have already purchased
Those who have already bought digital gold through broking companies should sell it through the same companies. Or you can take gold in metallic form. Investors will no longer have to deal directly with companies that sell digital 'gold'.
However, only non-broking platforms like PhonePay, GooglePay and Paytm can bring these services closer to the customers.
