New Delhi, October 21, 2026 (Yes Punjab News)
Digital gold could unlock up to $700 billion in latent demand, potentially transforming a market currently valued at $45–55 billion, according to a report by Boston Consulting Group (BCG) and the World Gold Council (WGC).
The report projects that the digital gold market could reach $160–170 billion by 2031 under a five-year base-case scenario, representing annual growth of around 27 per cent.
If barriers to adoption are addressed more rapidly, the market could expand to $270–280 billion. The report clarified that the broader growth opportunity reflects potential demand if existing obstacles are removed, rather than a near-term forecast.
“Trust remains the biggest barrier to adoption, with stronger consumer protection, transparent proof of backing, accessible redemption and clearer regulation identified as key factors in building investor confidence,” the report noted.
Digital gold could also expand the overall gold market, with around 65 per cent of latent demand expected to come from consumers who do not currently own gold. Under the base-case scenario, this could generate nearly $95 billion in genuinely new gold demand by 2031.
Tokenised gold is also gaining momentum. Its value has increased fivefold since late 2024 to around $6 billion, while cumulative spot trading volumes exceeded $90 billion in the first quarter of 2026.
Younger investors are playing a significant role in driving awareness. The report found that 50 per cent of investors aged 25–34 were aware of digital gold, compared with 23 per cent among those aged 55 and above.
India is emerging as one of the world’s most advanced digital gold markets, supported by widespread awareness and easy access through digital platforms.
“India is among the world’s most advanced digital gold markets. Awareness stands at 71 per cent of investors, among the highest of the 12 markets we surveyed, and access through payment platforms, super-apps and banking apps has made digital gold part of everyday financial life,” said Vipin V, Managing Director and Partner at BCG.
Vipin said more than 120 million Indians had transacted in digital gold, with monthly transactions crossing 200 million in early 2026.
He added that younger investors would drive the next phase of growth, placing India in a strong position to lead the market. More than half of the country’s new investors are under the age of 30, he said, identifying stronger regulatory-style protections as the single biggest lever for wider adoption.
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