Akshaya Tritiya in times of COVID-19: Is digital gold a preferred choice over physical gold?

New Delhi: Akshaya Tritiya this year, like the last year, will be marred by the onslaught of the second wave of COVID-19 crisis.

Akshaya Tritiya is considered an auspicious day for buying gold, silver and other metals. Gold prices are widely tracked in bullion market largely due to token purchases on the auspicious occasion of Akshaya Tritiya.

Akshaya Tritiya, variously known as Akti or Akha Teej or Akshaya Trutiya, is considered to be one of the most auspicious days for Hindus. It falls on the Lunar day of Shukla Paksha in the month of Vaisakha. As the name suggests, Akshaya Tritiya means the 'third day of unending prosperity'.

Gold is the preferred form of investment for Indians. During occasions like Dhanteras and Akshaya Tritiya, Indian people like to spend more on physical gold. However, due to the advent of modern technology and the focus now shifting more on digital aspect, this Akshaya Tritiya could be a good window to invest in gold digitally. Several digital gold products also allow customers to buy and sell international quality gold at market-linked prices instantly.

During the second wave of COVID-19 pandemic, several parts in the country are following curfew or partial lockdown. Hence in such a situation, investing in physical gold may come as a bit of hassle.

What is digital gold?

Physical gold bought digitally and easily through a mobile app is digital gold. Digital gold has increasingly caught the eye of investors as it offers all the benefits of gold along with the ease of trading and transactions in smaller denominations. Customers get certified gold with quality assurance which is stored securely in vaults.

“In the present environment, when some states are under a lockdown and citizens are discouraged to step out in others, digital gold is the safest option that allows customers to buy gold, from the comfort of their homes on Akshaya Tritiya. Moreover, this is the right time to invest in digital gold as it is an attractive proposition for investors looking at long-term savings as gold has always been an insurance against uncertainties. Millennials who tend to lean towards digital investment options can also buy digital gold. They can purchase fractional physical gold for a small investment,” said Ashraf Rizvi, Founder & CEO, Digital Swiss Gold & Gilded.