Digital gold adds an additional layer of security. Physical gold is traditionally considered a “store of value”, providing security and protection. However, there is always fear and risk of physical loss or theft. Both digital and physical gold have advantages and disadvantages.
If you only want to buy gold for financial purposes, you can buy digital gold instead of physical gold. Digital gold, on the other hand, is not regulated and has a time limit on how long it can be held digitally. The physical gold bars that support digital gold assets are usually securely secured and protected in vaulted facilities. If the sole purpose of buying gold is to invest, you can invest in digital gold instead of physical gold.
You can enter the amount of gold in grams or in value and purchase it after completing the KYC process. When comparing physical and digital gold, it's important to consider what's most important to you as an investor. As technology advances, new forms of investment in gold have emerged to offer gold lovers alternatives to traditional physical property, including digital gold. Digital gold, or digital gold currency (DGC), offers investors the possibility of owning physical gold, with the added benefit of lower costs and greater accessibility for the common investor.
If an investor decides to sell, the legal title to the underlying gold ingot is withdrawn from the holder. Some investors, especially collectors, choose physical gold because it's a tangible asset that they can hold in their hands or store at home. However, digital gold is not regulated and has a limit on the maximum number of years it can be kept in digital form. For example, Kinesis securely stores the gold ingots behind Kinesis gold in 13 first-class fully secured vaults in 9 countries.
It's a safe, convenient and cost-effective way to buy and invest in gold online that doesn't even require additional storage and transportation costs. As an investor, the Kinesis monetary system can simply be used to store gold and, at the same time, obtain a competitive return and use its full capacity as a global digital currency. With no storage fees, investors can securely store physical gold without the primary cost of investing in traditional gold. In these cases, other forms of digital investments may be preferred, for example, sovereign gold bonds and gold ETFs, exchange-traded funds (mutual funds).
With the entire world moving towards digitalization, gold in digital form has been gaining popularity.