Digital gold players to form self-regulatory organisation by Nov

Digital gold companies are in discussions to form a self-regulatory organisation (SRO) by the end of this month, four industry sources told Moneycontrol on condition of anonymity.

The move follows an advisory issued earlier this month by the Securities and Exchange Board of India (SEBI), which warned consumers that the digital gold industry is currently unregulated.

Gold manufacturing and safekeeping companies, MMTC-PAMP, Augmont, CaratLane, Jar and SafeGold, have been in talks to establish an organisation that will work towards creating guidelines for the industry and an SRO framework.

The proposed body is expected to ensure that customers’ digital gold holdings are audited and fully backed by physical gold stored in secure vaults.

These companies have also been in talks with digital