India, Nov. 18 -- You may think that it is the best way to hold gold. Unlike the bullion assets in the bank lockers, there are no bulky and physical bars, coins, and jewellery. In contrast to the gold-based Exchange Traded Funds (ETFs), and derivatives, there is no paper trail. However, there is an assurance and guarantee that you possess a certain amount of gold, which appears in the form of a digital statement. More importantly, whenever you express the wish, the equivalent physical quantity will appear at your doorstep.

Welcome to the world of e-gold, or digital gold, which is being sold by several online platforms as a substitute for physical and paper metal. However, as the stock market regulator, SEBI, and experts warn, this gold c...