The Indian government is considering new regulations to bring the digital gold sector under the joint supervision of the Reserve Bank of India and the Securities and Exchange Board of India.
Reader brief
Through the Reader lens: The Indian government is exploring a regulatory framework to bring digital gold under the joint supervision of the Reserve Bank of India and the Securities and Exchange Board of India. The move aims to address concerns regarding the current lack of oversight in the digital gold market, which manages approximately $3 billion in assets. Proposed changes include requiring digital gold to be physically backed by bullion and classifying it as a security to enhance investor protection and prevent money laundering.
What to watch next
- Finalization of a regulatory framework classifying digital gold as a security.
- Implementation of physical bullion backing requirements for digital gold units.
- Formalization of the joint supervisory role for the Reserve Bank of India and the Securities and Exchange Board of India.
What was said1
Attributed, verbatim. Every quote is checked against the article it came from. One that does not match is not shown.
Samit Guha
1 quote“The digital gold and silver ecosystem in India needs some regulatory oversight urgently considering its acceptance with consumers and the numbers of retail consumers who are onboarded with various players,”
In the article
…ensure that there is no regulatory arbitrage and also end uncertainty among all legal participants, including investors," he added. Industry participants are also backing greater regulatory oversight of the sector. " The digital gold and silver ecosystem in India needs some regulatory oversight urgently considering its acceptance with consumers and the numbers of retail consumers who are onboarded with various players, " said Samit Guha, managing director of MMTC-PAMP, one of the major digital gold companies. Digital gold platforms have formed a self-regulatory organisation this year, the Digital Precious Metals Assurance Council of…
Sources1
- [1]The Times of IndianeutralSebi warned on digital gold in 2025; now physical backing and oversight in works