SEBI Issues Caution on Investment in Digital Gold
SEBI Issues Caution on Investment in Digital Gold
On November 8, 2025, the Securities and Exchange Board of India (SEBI) issued a public caution regarding investments in “Digital Gold.”
According to SEBI’s Press Release No. 70/2025, several digital and online platforms have been offering “Digital Gold” or “E-Gold” investment options, often marketed as alternatives to physical gold. SEBI has clarified that such products do not fall under its regulatory purview and are not classified as securities or commodity derivatives.
In contrast, SEBI-regulated gold investment avenues include:
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Gold Exchange Traded Funds (ETFs) offered by mutual funds,
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Exchange-traded commodity derivative contracts, and
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Electronic Gold Receipts (EGRs) traded on recognized stock exchanges.
Investors are advised to exercise caution, as Digital Gold products may entail significant counterparty and operational risks. SEBI has also emphasized that investor protection mechanisms applicable to regulated securities do not extend to such digital gold investments.
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