Digital gold via UPI hits record transactions in March
What's the story
Digital gold purchases through Unified Payments Interface (UPI) have witnessed a massive surge in March 2026. According to data from the National Payments Corporation of India (NPCI), the number of transactions hit an all-time high of 254.44 million, with a total value of ₹3,171.96 crore. Although this is lower than January's peak value of ₹3,926.47 crore, it surpasses February's ₹3,032.41 crore and marks a significant increase from February's transaction volume of 222.83 million.
Market dominance
UPI dominates digital gold purchases
UPI has become the leading platform for digital gold purchases in India, with over 90% of transactions happening through this payment network. The trend has also spread across various payment and fintech platforms such as Paytm, Jar, PhonePe, Amazon Pay, and Google Pay, among others. Users are now opting for small-ticket purchases through these apps instead of making lump-sum festive buys.
Behavioral change
Shift in consumer behavior
The data shows a clear shift in consumer behavior from lump-sum festive buying to smaller, more frequent transactions. The segment saw ups and downs in late 2025, with purchases worth ₹2,290 crore in October during the festive season before falling to ₹1,215 crore in November despite an increase in volumes. However, it bounced back to ₹2,079 crore by December and peaked again in January.
Regulatory gap
Regulatory concerns for digital gold products
Despite the surge in transactions, digital gold products remain outside the purview of the Securities and Exchange Board of India (SEBI). In November, SEBI had said that these products do not fall under its jurisdiction, leaving the segment without a dedicated regulator. A formal circular or notification is yet to come into effect as buying trends continue unabated.