The shiny yellow metal, Gold, holds an extremely significant place in the hearts of Indians - the second largest consumer of Gold in the world. Be it in the form of bars and coins or be it jewelry, Gold of different carat values can be easily found in almost all households in India.
People also purchase lockers in banks to store their gold which further adds to the cost of buying and maintaining the precious metal. There is always a risk of your gold being stolen or destroyed.
In India, liquidating gold jewelry also has its own share of troubles. Jewelry retailers often only replace the gold sold by them and not that sold by any other retailer. Apart from this, making charges and the impurities in gold also add to the reduction in value of Gold jewelry.
To overcome these problems and to have gold at your disposal for future use, a person can invest in Digital Gold. This is the physical form of gold which is sold online and stored digitally. You can buy gold of any value through this method and can sell it at any time.
What is Digital Gold?
Imagine this - You buy gold from a bullion trader and he promises to keep it safe and secure with him so that you do not have to bear the costs and the risk of storing it with yourself. You can also sell as small a quantity as you want and buy a quantity as small as you want.
If you need the gold for making a jewelry, you can order for home delivery of the Gold as well (in the form of coins or bars) and you can also redeem that gold against your jewelry at the partner shops of the organization which sells this asset.
Who gives it?
Digital Gold in India is made available by the association of Switzerland based bullion provider PAMP and a government of India undertaking MMTC - Metals and Minerals Trading Corporation of India. The MMTC-PAMP partnership was formed in 2008. The Gold prices for the yellow metal sold through it are derived from the London Bullion Market Association.
Where can you get it?
In India, you can procure Digital Gold through platforms like Paytm, PhonePe, Google Pay, Amazon, Flipkart, HDFC Securities, and Motilal Oswal Securities.
Investments today have become simpler by the day. From the days of going to the stock exchange to get papers of shares till today when most of the processes have become DIY, buying Gold has also undergone the same changes. Moving ahead from the bars and coins given by the banks to gold backed securities such as ETFs and Futures, Gold is now available in electronic form. India will soon see all other commodities available just as easily, with the quality assurance by certified agencies, which would boost economy much more.