SEBI has issued a public caution stating that several digital/online platforms are offering investments in ‘Digital Gold’ or ‘E-Gold’, marketed as an alternative to physical gold. SEBI clarified that these products are not notified as securities nor regulated as commodity derivatives, and therefore fall completely outside SEBI’s regulatory purview.
Investors are advised that such digital gold schemes are not covered under SEBI’s investor protection framework and may involve significant counterparty and operational risks.
Please find the attached copy of the Press release.
