INDUSTRY
SEBI cautions investors about dealing in unregulated e-gold products
- IBJ Bureau
- Nov 09, 2025
The Securities and Exchange Board of India (SEBI) has issued a public statement, cautioning investors against dealing in digital gold or e-gold products by unregulated online platforms. The market regulator has said that such investments are not under its regulatory framework and may pose significant risks to investors.
“It has come to the notice of the SEBI that some digital or online platforms are offering investors an opportunity to invest in digital gold or e-gold products. In this context, it is informed that such digital gold products are different from SEBI-regulated gold products, as they are neither notified as securities nor regulated as commodity derivatives. They operate entirely outside the purview of the SEBI,” the regulator has said.
The markets regulator has added that it has enabled several regulated options for investing in gold, including gold exchange-traded funds (ETFs) offered by mutual funds and electronic gold receipts (EGRs) traded on stock exchanges and exchange-traded commodity derivative contracts. These instruments are governed by its regulatory framework and can be accessed through its registered intermediaries. However, digital gold products being sold online are not the same as SEBI-regulated gold products.
Such digital gold products may entail significant risks for investors and may expose investors to counter-party and operational risks,” the SEBI has noted
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