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A brief guide on why you should consider gifting digital gold instead of physical gold to newly wedded couples. Discover its benefits and the process to go about it.
For centuries, families in India have cultivated a tradition of gifting gold at weddings. Today, India is the third largest consumer of gold in the world. Gold is not only considered to be an auspicious gift, but it also offers long-term security to a couple starting a new journey.
The price of gold continues to appreciate in the face of many global events, such as pandemics, recessions, and political conflicts.
However, gifting gold in its physical forms, such as jewelry or coins, can be a cumbersome process that requires additional time and resources. These challenges have given rise to the popularity of digital gold, which can be gifted seamlessly.
Let’s understand why a digital gold gift has become the go-to modern wedding gift, its various benefits, and how to purchase digital gold.
What Exactly is Digital Gold?
Digital gold is the process of purchasing gold online. This alternative to physical gold is gaining popularity in India and other parts of the world due to the convenient, hassle-free experience.
The entire transaction takes place online. When you invest, an equivalent amount of physical gold is stored in an insured vault.
The transaction is securely recorded in a Demat account. This reduces the potential for any physical theft. There are several reasons why more and more consumers are shifting to gifting gold in its digital format.
Here’s a look at why:
Five Reasons Digital Gold Makes a Great Wedding Gift
Here’s a snapshot of the top reasons to consider gifting digital gold instead of gold jewelry, coins, or bars.
The Value of Gold Keeps Appreciating:
Many wedding gifts are exchanged or recycled as a gift and given away. On the other hand, digital gold has timeless value.
Not only does its value remain stable when the stock markets are unstable, it appreciates through recessions and other life-altering events. Your digital gold gift is sure to increase the net worth of the new couple as they start on a new journey, and they will never feel the need to exchange it for another gift.
Digital Gold For Every Budget
Buying physical gold can be expensive, and you may need to increase your budget to buy something substantial.
On the other hand, digital gold proves to be a versatile gift. You can first decide your budget and purchase an equivalent amount of digital gold. Your budget can be as low as INR 100, and so on.
Easy to Gift as a Group
Often, friends and family pool together to offer a substantial wedding gift. For instance, a group of office colleagues makes it together to jointly offer a gift to a colleague who is getting married.
In such cases, it is always difficult to reach a consensus on the gift you are planning to give. If you are planning on gifting gold at a wedding, then you need to identify a piece of jewelry, which can be cumbersome.
The best option is to arrive at a budget and then gift digital gold, a hassle-free process.
Gold Purity is Assured
When gifting gold, the purity of the gold is always a concern. You always run the risk of being sold gold-plated jewelry. Hence, you must identify a trusted jewelry store if you are planning to give physical gold.
On the other hand, if you gift digital gold, you can rest assured that it is traded at 24-karat with 99.5% fineness. This guideline is stipulated by the Reserve Bank of India (RBI). This is because there is potential for it to be gold-plated but positioned as pure gold.
No Making Charges
Another benefit of buying digital gold is that you do not need to invest in making charges, which is the case when you gift gold jewelry.
Making charges can go as high as 8%. You also do not need to sit with jewelers to identify the design of the jewelry that you plan to gift. Hence, you eliminate the costs and extra efforts required when investing in digital gold.
Top Benefits For the Wedding Couple
Digital gold is a valuable wedding gift for any newly married couple. Here are some of its key benefits:
1. Higher Liquidity
It is easy to buy and sell digital gold quickly. Hence, the couple can always decide to liquidate in case of an emergency or if they need to purchase a flag for their married life.
2. No Maintenance Required
When couples are gifted physical gold, they must also make arrangements to store it safely in a bank vault, which comes with maintenance charges. Such charges are eliminated in the case of digital gold. It is best to offer a gift that does not require any additional investment by the company.
3. Grow Passive Income
The value of gold keeps growing and, in time, yields returns. This is a great gift to offer any married couple as an investment in their future.
How to Buy Digital Gold
Buying digital gold is a highly seamless process in today's world. The most important thing, however, is to buy digital gold from a trusted platform. Do your research before making a purchase.
One avenue to buy digital gold is through online investment platforms that offer a variety of products. Ensure the platform partners with a credible gold provider such as SAFEGOLD. The service providers ensure the quality of gold and that it is safely stored in an insured locker.
You can turn your gifting aspirations into a stylish wedding gift with digital gold. It is a modern take on an auspicious tradition. This route allows you to be a trendsetter and make your gift stand out.
Download the Jar App for more information on effective investment plans. Start by investing just INR 10 and grow your portfolio with investments in digital gold.