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Mumbai: On May 4, 2026, the National Stock Exchange of India (NSE) introduced the Electronic Gold Receipts (EGR) segment, marking a significant step towards formalizing and digitizing the massive gold market in India.

EGRs are dematerialized securities of ownership of physical gold in SEBI-approved vaults. Gold can now be easily purchased, sold, and contract traded electronically on the NSE with efficient price discovery, reduced costs, and high transparency.

The main peculiarities are the possibility of transforming EGRs into physical gold, or vice versa. On its inauguration, NSE was able to dematerialize a 1 kg gold bar into an EGR, proving the smooth process.

The move will benefit retail investors, jewelers, refiners, and the institutions, as it will narrow the gap between the physical gold and the formal financial system and reduce risks related to the unorganized gold trading.

This according to experts is a major boost to gold as an asset class in the financial markets of India.