InvestorQ : I get to hear a lot about MMTC digital gold. What exactly is digital gold and how does it work?
Anu Biswas made post

I get to hear a lot about MMTC digital gold. What exactly is digital gold and how does it work?

Answer
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Neelam Naik answered.
1 year ago


Each time the auspicious Dhanteras celebrations are back or the Akshaya Trithiya festival comes, most Indian households start to splurge on gold. The belief is that buying gold on such auspicious days brings prosperity and wealth to the household. But gold has its own challenges. If you buy physical gold, there is the problem of safety and maintenance. If you opt for gold jewellery, then there is the added risk of production and melting losses over and above the safety issue. Gold bonds issued by the RBI are only available at select intervals at the banking window. All these challenges can be overcome through the recently introduced Digital Gold by MMTC-PAMP.

The Digital Gold is issued by the government owned Minerals and Metals Trading Corporation (MMTC) in association with PAMP of Switzerland, which is one of the global leaders in bullion branding. The joint venture, MMTC-PAMP, operates the world’s most advanced gold processing facility. MMTC-PAMP has now come out with the issue of Digital Gold (electronic gold) even in very small quantities, which will be issued online in the form of 24K 999.9 Fine Gold Coins. Investors can not only buy digital gold from the MMTC-PAMP but can also sell gold that meets this criteria to the MMTC. It was recently reported that retail investor have really taken on to the idea of digital gold and even small buyers are buying gold in small denominations of as low as 1 gram.