EGRs are dematerialised securities that represent ownership of physical gold stored in Securities and Exchange Board of India-accredited vaults. These receipts are held electronically via depositories and are fully backed by physical gold, allowing them to be traded on the exchange like other financial instruments.
How it works
Each EGR corresponds to a specific quantity of gold deposited in secure vaults. Investors can buy and sell these receipts on the exchange, while also retaining the option to convert them into physical gold, creating a link between digital and physical markets.Why it matters
The exchange said the initiative seeks to bridge the gap between traditional physical gold ownership and formal financial markets. By bringing gold trading onto a regulated platform, NSE expects to enable better price discovery, enhance market transparency, and broaden participation.
Who it benefits
The platform is designed to cater to a wide range of participants, including jewellers, refiners, traders, and institutional investors. It may also allow retail investors to access gold in smaller denominations through a structured and secure mechanism.
NSE said it has already completed the dematerialisation of a 1,000-gram gold bar into an EGR, marking the operational readiness of the segment and demonstrating the conversion of physical gold into a tradable electronic form.
-With PTI inputs
First Published: May 5, 2026 7:27 AM IST
