Paytm will soon restart physical gold delivery for customers who invest in digital gold on its platform.
The company told Moneycontrol that the service will return before Akshaya Tritiya, which is traditionally seen as a favorable time to buy gold.
Many payment and investment apps allow users to invest in digital gold. Customers can either sell their gold at any time or request physical delivery of the gold they own.
Paytm said in a statement to Moneycontrol, “We are making changes to enhance the digital gold experience by providing better redemption options.
As part of this upgrade, physical redemption and delivery of digital gold on Paytm will be available in more than 12,000 pin codes.”
The company added that the feature will start rolling out from mid-April, after improvements to its backend systems and technology are completed.
Physical Redemption Was Suspended in August 2025
According to some Paytm gold investors, the company temporarily stopped the physical redemption option in August 2025 without giving a clear reason at that time.
Since then, the option for physical delivery in the app has been displayed as “Coming Soon.”
Paytm later explained that the suspension was temporary and was done to upgrade infrastructure and logistics, ensuring a better and more consistent experience for customers across the country.
The company also clarified that even during this period, users could still sell their digital gold at the current market price through the app.
Digital Gold Is Becoming More Popular
Interest in digital gold has been increasing rapidly. In January 2026, purchases of digital gold through Unified Payments Interface (UPI) reached a record level.
Digital gold worth ₹3,926 crore was purchased
Around 219 million transactions were recorded
This number was four times higher than January 2025
More than 90% of purchases were made through UPI
Experts say the growing interest is due to rising gold prices, its reputation as a safe investment, easy purchasing,
and the ability to invest small amounts. Customers can buy digital gold starting from ₹1 up to about ₹2 lakh per day.
How Digital Gold Platforms Work
Several popular apps offer digital gold investment options, including Paytm, PhonePe, Jar, Amazon Pay, Google Pay, and Tanishq.
The value of digital gold is tokenized and managed by companies such as MMTC-PAMP and SafeGold.
Paytm works with MMTC-PAMP, which is partly owned by the Government of India. When a user buys digital gold on these apps, the platform purchases an equivalent amount of physical gold
and stores it securely in vaults managed by MMTC or SafeGold.
This process is regularly audited by independent auditors to ensure that the apps actually hold the same amount of physical gold as the digital gold sold to customers.
Minimum Quantity for Physical Gold Delivery
Most digital gold platforms require a minimum quantity before customers can request physical delivery. This minimum amount usually starts from one gram, though it may vary depending on the platform.
For example, PhonePe has partnered with CaratLane to provide physical redemption of digital gold to its users.
