Archive · 12 Jan 2026
Indian Investors Cautioned on Digital Gold Risks
Digital gold is a new way to buy and sell gold using apps and payment platforms.
It's becoming very popular in India, with more people buying it every month.
However, there are some big problems.
Digital gold is not regulated by the government, which means it might not be safe.
Companies selling digital gold don't have to follow the same rules as banks or other financial institutions.
This could lead to problems like fraud or loss of money.
Some people think that regulating digital gold could slow down innovation, but others believe it's necessary to protect investors.
The government needs to create rules to make sure digital gold is safe for everyone to use.
Digital gold purchases in India have surged from Rs 50.9 million in January 2025 to Rs 103.2 million in September 2025, with a corresponding value increase to Rs 1,410 crore.
Globally, tokenised gold products have reached a value of USD 2.5-3 billion.
Digital gold is not regulated as securities or commodity derivatives in India, exposing investors to counterparty and operational risks.
Platforms offering digital gold do not comply with prudential requirements, disclosure obligations, or custody norms, and often lack transparency in pricing.
Regulatory oversight is necessary to protect investors and ensure the safety of digital gold investments, despite arguments that regulation could curb innovation.
- Who
- Indian investors and financial regulators
- What
- Risks and regulatory concerns surrounding digital gold investments
- When
- January 2025 to September 2025
- Where
- India
- Why
- To caution investors about the risks of unregulated digital gold investments and the need for regulatory oversight
- Digital Gold Purchases (Jan 2025)
- Rs 50.9 million
- Digital Gold Purchases (Sep 2025)
- Rs 103.2 million
- Value of Digital Gold Purchases (Sep 2025)
- Rs 1,410 crore
- Global Tokenised Gold Products Value
- USD 2.5-3 billion
- Regulatory Status of Digital Gold in India
- Not regulated as securities or commodity derivatives