Digital Gold Vs Physical Gold- Which Is Better in 2024?

Gold has been a popular investment option since time immemorial. However, back in the day, only physical gold was traded and used for investment purposes. But today the times have changed. We now live in a technologically advanced world wherein you have almost everything at the tip of your finger. Consequently, now we have gold in two forms: digital and physical. But how is digital gold different from physical gold? Let’s find out the major differences between them and learn which one you should consider for investment. In the article, we will also understand how you can buy digital gold with CASHe.

What is Digital Gold?

Digital gold is the form of gold that you trade online. Though digital gold is bought online, it is always backed by physical gold kept in vaults. This way, you can easily buy or sell gold at any time, without needing to keep it securely at home. Instead of going to a shop and buying gold coins or bars, you can buy digital gold online from anywhere in the world. All you need to have is a digital gold investment platform like CASHe.

Benefits of Digital Gold

You can buy and sell digital gold anytime from anywhere using your phone or computer.
You do not need to worry about storing digital gold as it is kept in secure vaults by the company.
You can start investing in digital gold with small amounts of money. With CASHe, you can invest in digital gold with as little as ₹1.
You can easily track your digital gold investments online.

What is Physical Gold?

Physical gold is the actual gold that you can touch and feel. It comes in the form of coins, bars, and jewellery. You can buy physical gold from a shop or bank and keep it safe in a locker or at home. Ever since the discovery of gold, it has been physically traded and hence, is always valuable. Physical gold is often considered as a way of investment. People have been buying and storing physical gold for centuries as a way to preserve wealth and tackle economic uncertainty. One of the main advantages of physical gold is its tangibility. Unlike digital gold, which exists only in electronic form, physical gold is a tangible asset and hence, it provides you with a sense of security and peace of mind.

Benefits of Physical Gold

The major benefits of physical gold include:

It is a tangible asset and hence, you can see and touch physical gold, which gives a sense of security.
Physical gold has been used for centuries as a way to preserve wealth.
You do not need the internet or any technology to buy and keep physical gold.
Physical gold is recognised and accepted everywhere.

Physical Gold Vs Digital Gold – Major Differences

Aspect	Digital Gold	Physical Gold
Meaning	Gold that is bought and sold online and is backed by physical gold in secured vaults	Gold in the form of bars, coins, and jewellery
Price	Usually as per the current market price	May include making costs, storage costs, and other fees
Investment Amount	You can invest small amounts as low as ₹1	Requires significant capital to invest
Taxation	Gains are taxed with GST on purchase	Gains are taxed with GST on purchase
Ownership	Online	Physical forms such as gold coins, bars, and jewellery
Accessibility	Easy to buy and sell online with the help of a digital investment platform	Requires you to visit banks or shops to buy or sell
Storage	Saved in electronic form online, while backed by physical gold stored in vaults	Need physical storage to keep it safe
Transaction costs	Low transaction costs	High transaction costs due to transportation, insurance, etc.
Liquidity	Offers high liquidity as you can sell it anytime	Low liquidity since selling can take longer

Best Ways to Buy Gold

Here are some best ways of buying physical gold and digital gold:

Digital Gold Investment with CASHe

With CASHe, you can buy 99.99% pure 24K digital gold for as low as ₹1. You just need to download the CASHe app from Google Playstore or App Store and create an account to start your digital gold investment journey. CASHe also allows you to convert your digital gold into jewellery and gold bars.

Also Read: How is Digital Gold Investment a New Age Tool for Investors?

How To Buy Digital Gold with CASHe

Step 1: Get the CASHe app from the App Store or Google Play Store.

Step 2: Verify your account with personal information.

Step 3: Find the “Gold” section in the app.

Step 4: Choose the amount of digital gold to buy

Step 5: Use debit/credit card, net banking, or UPI to purchase the gold

Step 6: Track your investment in the app

Conclusion

Both digital gold and physical gold have their own benefits. While digital gold is convenient and easy to manage, physical gold is tangible and traditional.

If you are looking for the best ways to invest in digital gold, then download the CASHe app right now! With CASHe, you can buy 99.99% pure 24K gold with as little as ₹1 from the comforts of your home. You can also avail instant personal loans, home renovation loans, education loans, travel loans, car loans, and more on the CASHe app.

FAQs

1. Should you buy physical gold or digital gold?

If you want convenience and easy management, you can go for digital gold. However, if you prefer a tangible asset, physical gold should be a better option for you.

2. Where can I buy digital gold?

You can buy digital gold on platforms like CASHe. Just download the app, create an account, and transfer funds, and you are all set to buy digital gold from anywhere.

3. Is digital gold safe?

Yes, digital gold is completely safe as it is backed by physical gold stored in secure vaults.

4. Which is the most liquid gold investment option?

Digital gold is more liquid as it can be bought and sold anytime online. However, physical gold requires physical presence and can take time to sell.

Digital Gold Vs Physical Gold- Which Is Better in 2024? | CASHe Blogs (2024)