India’s capital markets regulator, the Securities and Exchange Board of India (Sebi), on Saturday, 8 November 2025, cautioned investors against buying unregulated products like digital gold and gold-related online products, according to an official announcement.
In the filing, Sebi announced that it has observed online platforms offering investors digital asset options such as digital gold or e-gold products. However, the regulator highlighted that these instruments are being marketed as an alternative investment in physical gold.
“It has come to the notice of SEBI that some digital/online platforms are offering investors to invest in ‘Digital Gold/E-Gold Products’. Digital Gold is being marketed as an alternative for investment in physical gold,” said Sebi.
No protection for digital gold?
Sebi informed the investors that the protection mechanisms will not be applicable for investments in these digital gold or e-gold products, as they are not identified as securities and are not regulated as commodity derivatives.
“Investors/participants are made aware that none of the investor protection mechanisms under securities market purview shall be available for investments in such Digital Gold/E-Gold products,” Sebi informed investors through its official announcement.
However, the regulator also clarified that investments in gold and gold-related instruments through various regulated products, such as ETFs, Mutual funds, etc., are protected through registered entities.
“Investments in these Sebi-regulated gold products can be made through Sebi-registered intermediaries and are governed by the regulatory framework prescribed by Sebi,” said the regulator.
(This is a developing story. Please check back for updates)