Digital Gold Investments on Akshaya Tritiya: Key Considerations

Digital Gold Platforms Offer Incentives Ahead of Akshaya Tritiya

As the festive season approaches, fintech platforms are rolling out a host of offers and campaigns to boost participation in digital gold purchases ahead of Akshaya Tritiya. This trend highlights the growing convergence of traditional gold buying with digital convenience and investment-led demand.

Platforms offering digital gold are introducing a range of incentives to increase participation, including cashback offers, bonus gold on purchases, discount-based rewards, and limited-time deals aimed at first-time buyers. Many apps are gamifying transactions through scratch cards and assured rewards, while emphasizing the ease of buying small quantities of 24K gold without storage concerns.

Comparison of Digital Gold Offers Across Platforms

| Platform | Cashback Offer | | --- | --- | | Amazon Pay | 2% cashback (Prime members), 1% cashback (non-Prime users) | | BharatPe | Up to 10% "goldback" on eligible purchases, along with a Rs 1 lakh jackpot pool |

These platforms purchase physical gold on behalf of investors and store it in secure, insured vaults. Ownership is maintained in digital form, allowing investors to easily track holdings, sell their gold, or convert it into physical form at their convenience.

Regulatory Framework for Digital Gold

Digital gold does not fall under the regulatory purview of the Securities and Exchange Board of India, unlike gold ETFs or sovereign gold bonds. This regulatory gap raises concerns around transparency and investor protection. In November 2025, Sebi issued a cautionary note stating that digital gold products offered online are outside the scope of both securities and commodity market regulations.

Leading Providers Working Towards Formalising Industry Standards

Credible players in the industry follow stringent self-regulatory practices, and there is active, industry-wide momentum towards formalising these standards. Leading providers are working collaboratively to establish a Self-Regulatory Organisation (SRO), which would set uniform benchmarks for independent audits, vault security, and customer protection across the industry.

Understanding the Buy-Sell Spread

When you buy digital gold, you will notice a difference between the purchase price and the buyback price. This is known as the buy-sell spread, a standard feature of any tradable commodity. In the case of digital gold, this spread incorporates the applicable 3 percent GST, along with other charges.

Points to Keep in Mind While Buying Digital Gold

1. Check the provider: You buy digital gold through an app, but the gold is held by a third party. Ensure it is backed 1:1 by physical gold, audited, and securely stored.
2. Know the costs: Prices include a buy-sell spread, GST, and processing charges. No making charges at purchase, but they apply if you convert to physical gold.
3. Think long term: Experts suggest that, like any asset class, digital gold is best approached with a considered investment horizon.
4. Check redemption options: Many platforms allow you to sell it for cash or convert it into physical gold, giving you flexibility based on your future needs.