India's shift to online gold investment continues gaining traction, with digital gold witnessing a 377% surge in UPI-based transactions over the past 16 months. Convenience, rising gold prices, and smaller-ticket purchase options are bringing more retail investors to this segment.
Between April 2024 and August 2025, digital gold purchases made via UPI rose from 20.92 million to 99.77 million, an increase of 377%. During the same time frame, the transaction value jumped from ₹550 crore to ₹1,184 crore, showcasing the growing appetite for convenient and flexible investment instruments in gold.
The soaring price of 24-karat gold has further boosted investment interest. As of August 2025, the price for 1 gram of 24-karat gold stood at ₹11,021, reflecting a 44% year-on-year growth from ₹7,633 in the same month last year.
Digital gold offers ease of investment with options to purchase even fractional amounts. Such flexibility allows consumers to tailor their investments as per budget constraints, further aligning with the increasing popularity of online payment platforms such as PayTM, Google Pay, and PhonePe.
Read More: UPI Raises Transaction Limits: Now Pay Up to ₹10 Lakh for Big Purchases!
Digital gold is now one of the fastest-growing product categories on UPI, according to NPCI. Initially featured among the top 10 medium-volume transacting categories in April 2024, digital gold has steadily climbed the ranks thanks to increasing investor interest and digital payment adoption.
Sellers such as MMTC PAMP, Augmont Goldtech, and several jewellers like Tanishq and Senco offer digital gold stored in secure vaults. Consumers receive digital certificates that are redeemable either for physical gold or cash, further enhancing its utility and appeal.
The surge in digital gold transactions reflects India's rapid digital transformation and rising interest in small-ticket investment options. With UPI offering unmatched convenience, digital gold is likely to remain a preferred choice for tech-savvy and budget-conscious investors.
Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in securities are subject to market risks. Read all related documents carefully before investing.
Published on: Sep 22, 2025, 11:39 AM IST
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