Monday, Aug 08, 2022
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Raksha Bandhan 2021: What Is Digital Gold And Is It A Good Rakhi Gift?

Mumbai-based wealth teach app Gilded has come out with special Rakhi offers allowing customers to gift fractional gold as a gift to someone they love. But what is digital gold?

Digital gold as Rakhi gift | Image for representation PTI

Mumbai-based wealth teach app Gilded has come out with special Rakhi offers allowing customers to gift fractional gold as a gift to someone they love.

The company is offering brothers an option to gift Swiss-refined gold digitally to their sisters living anywhere in India. Digital gold is accessible 24x7 on the mobile app and can be sent to the sisters (or other family members) on the day itself that is Sunday. Gilded offers fractional gold, making it more affordable and allowing it to be a gifting option for a larger population. There are also a variety of virtual gift wraps available for a personal touch.

What is digital gold? 

Digital gold is simply physical gold bought online through mobile apps like Gilded. Gilded provides assured quality, safety, insurance and security. The physical Swiss gold is stored in fully insured non-bank Brink’s vaults in Zurich, Switzerland. 

In general, digital gold can be bought online and stored in insured vaults by the sellers acting on behalf of the customers.  As opposed to physical gold purchases, digital gold transactions are conducted online and do not require buyers to physically be present at the time of the sale.

How has it has become an emerging gifting trend?

Buying digital gold offers several conveniences over the physical purchase of gold. Be it the issue of purity and legitimacy of the gold, or its storage and safekeeping, digital gold offers solutions that physical purchases do not.  

Ashraf Rizvi, Founder and CEO, Gilded, says, “Gold is culturally important in India and holds immense value when bought or gifted on festive occasions. Digital gold has been making its way into Indian portfolios and now it should also be considered as a great gifting option.  The receiver will not only own Swiss gold but will also possess a safe asset that will give long-term returns and build wealth. While digital gold rose in popularity during the pandemic, I believe it will continue to gain preference over physical gold as an investment.”

At a time when physical contact is being discouraged due to the Covid-19 pandemic, digital gold gifts and investments might be the best way to give valuable gifts to loved ones.

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