Electronic Gold Receipts (EGRs)?
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These are electronic receipts issued on the basis of a deposit of underlying physical gold.
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EGRs could be traded on proposed gold exchange in India.
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Gold Exchange would be a national platform for buying and selling EGRs issued against physical gold. Investors can trade in EGRs on stock exchanges and the proposed gold exchange.
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The transaction in a gold exchange has been divided into three parts: conversion of physical gold into EGR, trading of EGR on a stock exchange and conversion of EGR into physical gold.
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SEBI would regulate the entire ecosystem of the proposed gold exchange. It would be the sole regulator for the exchange, including for vaulting, assaying gold quality and fixing delivery standards.