Google Pay users can now start investing through the app as the technology firm prepares to launch ‘Gold’ as an investment plan on its platform , according to two people in the know of the matter. This will be the first such move by Google in the buzzy online investment space.
While the service has not been officially launched, the company has already updated its terms of service on the Google Pay application, which ET has checked and verified. ET has sent queries to Google, and will update the story with the company’s response.
“Google Pay provides a technology platform to MMTC-PAMP to offer the sale, delivery and repurchase of Gold and other releated services,” read the service settings on Google Pay, as published by business intelligence platform, Paper.vc. MMTC-PAMP is a joint venture between Switzerland-based bullion brand PAMP and MMTC, a Government of India undertaking which offers a gold account which can be accessed digitally by the Indian shoppers.
Consumers can buy 99.99% pure 24 karat gold through the platform which will be credited to the account in digital format. It becomes an avenue for investment for people instead of having to buy gold in the physical format.
Paytm was one of the first players to introduce digital gold to users followed others like PhonePe, ETMoney, owned by Times Internet, a part of Times group which also publishes ET, among others.
ET had reported in May last year that PhonePe claimed to have seen a
400% spike in transactions in digital gold within five months of launch, with a total 250kgs of gold having been sold then. Paytm has been reporting huge volumes of gold being sold through its platform as well. In August, the company reported to have cornered more than 70% of the digital gold market in the country.
Further, Google laid out details of its service conditions where it said that consumers will need to comply with full KYC requirements of the country to be able to avail this investment service. “By opening Gold account on Google Pay you expressly authorise Google Pay to access, use and store gold transaction information…for providing you with services on Google Pay,” said the company in the offer terms.
Source: Economic Times