Gold custody
Where your digital gold is kept
When you buy digital gold, the physical gold is held in custody for you. Here's how that works, and what we'll publish before we sell a single gram.
At a glance
- Custodian
- SMG Horizon Services Private Limited
- Purity of stored gold
- To be published
- Gold supplier
- Malabar Gold & Diamonds
- Convert to coins
- Available
How custody works
Physical backing
Every gram in a customer's holdings matches physical gold of the stated purity in custody. Holdings are created only after the gold is confirmed.
Pooled ownership
Small amounts like 0.1 g can't each be a separate bar, so customer gold is held as a pool and each customer owns a recorded share by weight.
Kept separate
Customer gold is held apart from SMG's own stock and recorded as held for customers.
Reconciled regularly
Total customer holdings are checked against the physical gold, and any difference is investigated.
Independently audited
An independent auditor will verify the gold against our records, and we'll publish a summary here.
If something goes wrong
The custody arrangement is designed to keep customer gold outside SMG's own assets, so it can be returned to customers if SMG, the custodian or the supplier runs into financial difficulty.
How well that protection holds under Indian law depends on contracts that are still being finalised. We won't describe customer gold as protected in insolvency until our legal counsel confirms the structure, and we'll publish their summary here.
Digital gold isn't covered by DICGC deposit insurance or any government guarantee. Please read our risk disclosure.