Micro-investing via digital gold up in anticipation of higher prices

Pune: Micro-investing in digital gold via UPI has started to see an increase with the price of yellow metal going up by Rs10,000 per 10 grams.

Saksham Singh, a resident of Undri, said, “Prices are expected to rise further over the next few weeks. I plan to buy gold in small denominations digitally. It is the best place to invest in the volatile market conditions.”

Karan Jadhwani, a software engineer and resident of Wakad, said he has been buying digital gold via UPI platforms for the last two years consistently and made good returns. “I buy some quantity every month. It is easy to sell and one can purchase any small value. I will definitely continue to buy as prices are likely to go up,” he added.

“Currently, we are seeing an increased volume in both sale and purchase. Customers are buying in expectation that gold prices will increase due to the duty change and rising prices are also leading to profit-taking. An average ticket size is at Rs5,000-Rs8,000 at the moment,” said Rhea Chaterji, co-founder and COO, Safe Gold, a digital gold platform that allows customers to buy, sell and receive vaulted gold at low ticket sizes.

The average annual price of gold in 2022 was Rs 52,670/10 grams. In 2026, the average annual price has more than doubled to Rs 1,34,500/10 grams.

Dr Renisha Chainani, head of research at gold platform Augmont, said, “Digital gold has benefited from high prices, enabling micro-investing that physical gold no longer permits.” Digital gold purchases via UPI remained strong in Q1 2026. The transaction values nearly quadrupled year-on-year with gross purchases of Rs70 billion, equivalent to 3.3 tonnes, in Jan–Feb alone, she said, adding that UPI continues to account for over 90% of digital gold transactions in India.

Despite market volatility, the demand for digital gold has remained resilient driven by buying convenience, accessibility and innovative digital platforms. “Moreover, the option of buying digital gold in smaller denominations makes this form of investment particularly attractive for younger and first-time investors, who are financially aware. Digital gold is expected to hold its prominence across investment portfolios given the fact that the yellow metal is viewed as a safe haven for investment, especially during periods of economic uncertainties,” said Samit Guha, managing director and CEO of digital gold platform MMTC-PAMP.