New Delhi: Senco Gold & Diamonds, which operates over 115 retail outlets in the country, on Tuesday said it will offer digital gold with the launch of its online gold transaction platform DG Gold.

The move follows the recent entry of Tanishq, one of India’s largest organized jewellery retailers, into digital gold through its partnership with SafeGold.

Digital gold is a tool that allows consumers to invest in the yellow metal in its digital form. India is among the key consumers of gold globally.

There was a surge in demand for digital gold during the nationwide lockdown last year. The fact that digital gold can be bought in small quantities makes it attractive to investors.

“The new platform gives our consumers the flexibility to create value and wealth which is secure and simple," Suvankar Sen, CEO, Senco Gold and Diamonds said in a statement.

In India, digital gold products are offered by vendors and refiners of gold through various platforms. Payment wallets like Paytm and Amazon Pay, as well as investment platforms Kuvera and Groww, offer digital gold. That apart, Augmont Gold; MMTC-PAMP India Pvt. Ltd, a JV between state-run MMTC Ltd and Swiss firm MKS PAMP; and DGIPL also sells digital gold products on their platforms.

Consumers with a valid PAN Card or Form 61 and a bank account in their name are eligible for DG Gold transaction, Senco Gold & Diamonds said.

“They can start their online gold savings journey with a purchase value of as low as ₹250. The DG Gold platform gives consumers the flexibility to convert their online gold purchase into physical gold in the form of jewellery at over 116 retail outlets of Senco Gold & Diamonds across India, at the time of redemption," the company said.

Consumers can also sell the gold online on the DG Gold portal or website as per the prevailing rates.

Purchased gold will be stored securely with a custodian with 100% insurance coverage, managed by a recognized trustee, it added.