Digital Gold Trade in India Thrived During Lockdown

SEATTLE (Scrap Monster): The digital trade of gold in India is expected to witness rapid surge, especially during these times when retail outlets across the country are closed on account of extended lockdown announced by the government.

The physical demand for the yellow metal is poised to hit the bottom. It must be noted that gold demand in the country used to touch peak during the months of April and May, due to wedding season and Akshaya Tritiya- the time considered to be auspicious for gold buying. It is under these circumstances that several platforms including Amazon, Paytm, PhonePe etc., have come up with the option of purchasing gold digitally.

A recent market survey said that gold sales through digital platforms have been reporting steady growth over the past several quarters. The people belonging to various age groups and professional backgrounds have shown interest in digital gold purchases, despite weak economic conditions. Incidentally, gold sales through PhonePay have almost doubled since the commencement of lockdown.

The flexibility to purchase any quantity of gold according to their budget, makes it an easy and preferred option for investors. In addition, customers could sell the gold online and encash the amount. The gold-backed ETF holdings in the country have surged to new highs recently, underlining the faith in digital gold products.