Paytm has officially launched a new ‘Digital Gold investment’ option on its site. Apart from being an e-wallet, Paytm is also an e-commerce portal and has over time mushroomed into multiple other avenues like ticketing, bill payments, municipality payments, etc. The gold buying and investment scheme has long been listed on the Paytm site but it is only now that the app has made the official announcement. Paytm has tied up with MMTC-PAMP for its new service, and only 24K 999.9 Gold (which is international standard gold) will be available for trade. Also Read - How to book COVID-19 vaccine slot via Paytm App, get Covaxin and Covishield shots with these simple stepsAlso Read - Alert! Paytm cashback scam: Fake Paytm website, it's a trick to steal your money
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Paytm users can now buy, sell as well as store gold right through the app or website. Once the customer purchases the gold, there is no physical delivery. Instead, the Gold is stored in Paytm vaults or lockers. Once a user logs into his account, he can check the amount of gold accumulated under the Locker tab in Gold menu. There is no limit to the duration for which gold can be stored. Customer can directly sell the gold over Paytm, if the need arises. There are no charges for gold storage.
How is it Digital Gold?
The term Digital Gold here implies the duration for which the gold a customer stores. There is no physical transaction of gold. Digital gold grams for the value paid are deposited in Paytm account. The entire transaction buying or selling is over a digital platform and customers are secure in knowing they own gold without the hassle to store it.
Will the gold never change to physical form?
Paytm offers users the option to have gold delivered to them in physical form. However, there are a host of charges associated with the delivery of physical gold. The customers are levied making charges on gold as well as delivery charges. Delivery of gold is in the form of coins in 1, 2, 5, 10, 20 gram denominations. Making charges for a 1 gram coin start at Rs 351. The charges go down as the denomination increases. According to Paytm website: “Each 24K 999.9 Gold coin/bar is manufactured by MMTC-PAMP and is sealed in a signed, serial numbered protective Certicards packaging that guarantees the assayed gold content, weight and quality.” ALSO READ: Paytm users can buy gold in grams or for currency as low as Re 1
There is no clarity on the selling of gold and the terms and conditions, charges involved, etc. The present rate of buying gold on Paytm is Rs 3001.4/g for 24 carat and Rs 2751.7/g for 22 carat purity.
Akshaya Tritiya is considered to be an extremely auspicious day by Indians to purchase gold and Paytm announced the new Digital Gold feature right on the festive occasion. Speaking on the launch, Vijay Shekhar Sharma, Founder & CEO Paytm said, Gold is the preferred form of investment for Indians, and we are making it easier for our users to invest in gold digitally. With this product, our customers can buy and sell international quality gold at market-linked prices instantly. The goal is to offer complete flexibility in deciding the amount they want to invest, and enable consumers to develop habit of saving regularly in digital gold for long-term wealth creation. We are confident that this solution will help millions of Indians to buy and sell 24K 999.9 pure gold with utmost confidence and security.