Overview
- SEBI has clarified that digital gold lies outside its securities remit and is not a commodity derivative, so statutory protections applied to gold ETFs and electronic gold receipts do not apply.
- IBJA wrote to the regulator on November 11 requesting that digital-gold platforms be brought under SEBI or another authority, citing companies’ willingness to be supervised.
- IBJA’s Surendra Mehta said multiple providers have approached the body expressing readiness for regulation to reassure customers.
- Providers describe digital gold as 24‑karat metal sold in fractional units, fully backed by physical gold stored in insured vaults with independent trustee oversight and third‑party audits, with MMTC‑PAMP and SafeGold named as key ecosystem partners.
- Adoption has accelerated among younger buyers drawn to low-ticket, mobile-first micro-savings with options to sell for cash, take physical delivery, or convert balances into jewellery.