Digital Gold – Why Invest in Digital Gold in India?

introduction

Gold has always been considered a solid investment in India. Currently, India has the second highest gold demand in the world, China ranks first (1). Over the past two decades, digital gold has emerged as a smart and convenient way to invest, replacing physical gold. Digital gold allows users to buy and save real 24k gold without the risk of theft, damage or loss. The digital gold you purchase is stored in secure vaults that are 100% insured. If you don’t want to trade your digital gold on a regular basis, you can also convert it into physical gold coins or bars and have it delivered to your doorstep. Expand your investment portfolio with a monthly plan, set aside a small amount to trade and invest in digital gold each month.

1. Start investing small – enjoy minimal risk with maximum returns.

Gold has often proven to be a very safe and stable investment option. However, jewelry and other forms of gold usually require a significant initial investment to eventually turn a profit. Even today it is difficult to buy physical gold in small quantities for a smaller amount. With the advent of digital gold, it has become much easier to treat your gold purchases like savings. Let’s see how.
With KreditBee you can buy digital gold for only 1 ₹. This means you can accumulate gold by saving in small amounts. You can continue to buy digital gold for smaller amounts and eventually save up a large amount of gold. If you choose to store your gold physically, you can convert your digital gold to physical gold and have it delivered to your door at your convenience. So if you use a small percentage of your disposable income each month to regularly buy digital gold, it will eventually bring you a good return on your investment.

2. Trade and Invest in Digital Gold – Grow your portfolio the right way.

Hundreds of thousands of Indians have bought gold jewelry over the past few decades. Although much of gold is bought as an investment, only a small percentage of the population seriously considers it an investment that will yield returns. In fact, most gold bought in India is stored for a long time. A study found that Indian households accumulated around 24,000 to 25,000 tons of gold in total(2). This gold is usually passed down through the generations for weddings and other special occasions. The Indian government has also launched a series of gold monetization programs and plans to bring this gold back into the economy. Unfortunately, these programs have received very little response from Indian households.

When it comes to digital gold, the whole process of buying, storing and selling gold becomes much easier as all transactions take place online. You can buy digital gold when the price falls and sell it for a profit when the price rises. You can also use digital gold to preserve your wealth over long periods of time. While almost every other market, from stocks and bonds to cryptocurrencies, has seen large swings over the years, the price of gold has been comparatively less volatile, rising steadily year on year.

3. Gold is proving to be a safe investment option.

Inflation is at an all-time high. Several markets around the world have suffered serious consequences as a result. The annual returns of many investment opportunities have fallen sharply over time due to inflation. However, gold has stood its ground and the annual returns it delivers have increased quite a bit in recent years. With a whopping 31.05% annualized return in 2020, gold was actually the second best annualized return since the 2008 financial crisis(3). In addition to being a solid investment opportunity, digital gold is also an excellent wealth preservation opportunity. The long-term results of parking money in digital gold are very beneficial. It is even known to act as a hedge against inflation. You can also save your money by buying digital gold and letting it grow at its own pace for a few years. The yields have in some cases even turned out to be better than the FD interest rates.

4. Use digital gold to avoid all additional fees.

One of the main advantages of digital gold over physical gold is that there are no additional fees. When buying physical gold, there are manufacturing fees, waste fees, and a variety of other fees that are levied while the gold is being created or even shaped into the desired form. With digital gold, you can skip all of those fees and hold your gold virtually. This also helps you avoid depreciation costs as well as damage to the gold that naturally occurs over time. KreditBee offers real 24 carat gold with 99.5% purity. This means you can own pure gold without worrying about the risks involved. While traders and retailers charge their own fees on physical gold products, digital gold is sold on KreditBee at live market prices 24 hours a day. This allows you to buy, invest or even accumulate gold as you please without worrying about additional fees being imposed on you. You can also have your digital gold turned into physical gold and gift it to loved ones on special occasions.

Conclusion

In summary, gold is a safe and stable investment or purchase and digital gold is an even more convenient and safe way to source gold and hold it for a while. You can choose to treat it as a short-term or long-term investment depending on how you want to plan your finances, but if you want to build your finances, KreditBee 24K Gold is a reliable way to go.

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