BharatPe introduces digital gold product on its platform for merchants

Merchant payment platform BharatPe on Tuesday said it has introduced digital gold product on its platform for merchants in association with Safegold.

Safegold is a digital platform that allows customers to buy, sell and take delivery of 24k physical gold, at low ticket sizes, around the clock.

Merchants will get an entire gamut of financial products with the launch of digital gold on BharatPe, a company statement said.

"We had received a number of requests from merchants to launch gold on our platform. We are already seeing great response and have sold 200 grams of gold on the day of the launch," Suhail Sameer, Group President, BharatPe, said.

"We will be adding new features to this and aim to build digital gold as one of the key verticals in the near future. We are targeting selling 30 kg of gold in FY21," he added.

Merchants will be able to buy and sell 99.5 per cent purity, 24-carat gold and they can choose to buy in rupees or grams, at any time of the day and from anywhere, by using the BharatPe app, the company said.

"BharatPe aims to sell 6 kg of gold leading up to Diwali."

SafeGold has appointed IDBI Trusteeship Services to protect the interest of merchants with regard to their gold purchases.

The gold purchased is kept safely at the 100 per cent insured lockers with Safegold, at no extra cost.

The payment facilitator said merchants will get a real-time view of gold prices linked with global markets, they can also avail benefit of GST input credit if they buy gold.

A merchant can also opt for delivery of physical gold. He can also sell the gold with the option of choosing BharatPe registered account or his bank account for the credit, BharatPe said.