People are becoming more familiar with investing their money in various platforms such as the stock market, real estate, and gold as of today, in the year 2022. Previously, people in India were more familiar with FDs (Fixed Deposits) as a reliable investment, but with rising inflation, everyone is looking for newer and more rewarding investment options.
When it comes to inflation protection, investors prefer gold as an investment. Gold has also been known to perform well during stock market crashes. Gold investment has also been simplified by new technology, and a technological version of gold known as Digital gold is now available. We have listed the benefits and drawbacks of digital gold in this article.
The Benefits of Purchasing Digital Gold:
Availability:
Digital gold can be purchased from any app on the internet. You can buy Digital Gold at the current gold price and sell it when the price rises.
Start with Rupee 1:
There is no minimum investment amount, and the maximum investment amount varies depending on the application. As a result, purchasing digital gold is extremely simple.
Saving money and being more flexible:
With digital gold, you can profit from physical gold without purchasing physical gold. 916digitalgold provides investors with the option of converting their digital gold into physical gold. You can have physical gold delivered to your home. It is extremely simple to convert digital gold to physical gold.
Digital gold is highly liquid:
It can be converted into cash with a few mouse clicks and whenever you want (no questions asked).
Stability and consistency in pricing:
The gold price in digital gold is the same in all states across the country, unlike the price of physical gold
Storage facility, lowering costs:-
You don’t have to worry about storage issues or costs with digital gold. The sellers keep your gold in a safe place. There are no additional storage fees at 916digitalgold.
Available as a mobile application:
The mobile application makes it very simple to purchase digital gold. 916digitalgold’s mobile app allows you to invest in Digital Gold.
Disadvantage
Drawback of GST:
Purchasing digital gold will save you money on making charges, but the tax must be paid here. Digital gold investments, like physical gold investments in gold ornaments/gold coins, are generally subject to a 3% GST. However, if you sell the digital gold, you will not be able to recover the GST from the subsequent buyers; you will have to bear this. As a result, you will lose that 3% to taxation. If the calculations are completed, they will be easier to comprehend. If an investor buys Rs. 500 worth of digital gold, he or she will have to pay around Rs. 515.
Lack of official regulating body:
SEBI has issued a circular to brokers in order for them to comply with the new guidelines. SEBI stated this because there are no rules or regulations governing digital gold on Indian stock exchanges.
Conclusion:
Despite all of the traditional factors associated with it, online gold has proven to be a popular investment option. 916digitalgold allows you to buy gold online in a few easy steps. All you have to do is sign up for the customer portal by providing your mobile number, confirm your email and pin code, and begin purchasing gold at its current market value — the gold’s live value will be displayed on the dashboard.
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