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New Delhi: For centuries the most prized metal for all auspicious occasions, gold is even today stored away in lockers, outshining many other asset classes as the investment of choice with assured returns and the ability to glitter amid volatility. Now, technology is shaking things up in the age-old scenario with the advent of a company such as SafeGold. Offering novel ways to invest in the yellow metal, the digital platform allows customers to buy, sell and receive vaulted gold at low ticket sizes 24X7 with the tap of a button. SafeGold's vision is to create a global standard for digital transactions in gold, founder and CEO Gaurav Mathur told PTI. "Digital gold has zero cash payments, digital KYC and is ideal for small ticket purchases of gold. It benefits from current market trends at multiple levels as is evident from the scale and growth of our business," he explained. The mission, Mathur added, is using technology to create innovative products in the gold industry by building a technology driven ecosystem, including consumers, banks, NBFCs, fintech platforms and jewellers, all connected through a common platform. Typically, festivals see a surge in gold buying in Indian households where volumes can top 10x-20x of normal daily levels. Having the entire infrastructure on Amazon Web Services (AWS) cloud means that scaling up to manage these peaks becomes an "easy process", Mathur said. Excerpts from the interview: Can you tell us more about SafeGold's larger vision, and the key milestones? SafeGold's vision is to create a global standard for digital transactions in gold. We started with the democratising of the purchase of gold in India. Nearly 50 million people have bought SafeGold since our inception in 2018. After that, launching the world's first gold leasing platform which allows owners of physical gold to earn a yield on their metal rather than have it sit idle in a locker, and international expansion have been our milestones. We are now live with TrueMoney, the largest mobile wallet in Thailand and adding more partners across Asia. What is the concept of digital gold, and how does it differ from traditional means of buying gold? Digital gold has two main benefits. You own physical gold that is securely stored in world class vaults so you don't need to worry about keeping your gold in a locker; and you can conduct a range of transactions related to that gold over digital channels. Everything you can do with physical gold - buy, sell, convert to jewellery, gift, use as collateral for a loan - you can do faster, better and cheaper with digital gold. All done over your phone without the need to visit any physical shop or locker. Additionally, features like buying in small ticket sizes and leasing are possible with digital gold, but not possible when you are buying gold from a shop. Our business model is to provide the entire range of gold related transactions via APIs to fintech platforms like payment and investing apps so they can provide digital gold as a product to their users. Could you talk about your revenue for FY24 and how has the business performed on financial metrics? We've grown revenue by 35 per cent to Rs 6,100 crore in FY24, from Rs 4,500 crore in FY23. We've been a profitable company for a few years now and hope to grow our profits at a faster rate than our revenue. What are the dynamics of India's gold market, and the changing trends in the industry? Historically gold has been dominated by the unorganised sector. The biggest trend has been the move of the industry towards the organised sector. With the advent of GST and mandatory hallmarking of gold jewellery, there is a strong regulatory push to move the industry towards the organised sector. There is also a shift in consumer preferences towards lower ticket gold jewellery and investment. Digital gold has zero cash payments, digital KYC and is ideal for small ticket purchases of gold. It benefits from current market trends at multiple levels as is evident from the scale and growth of our business. What are SafeGold's plans for the future when it comes to market expansion, and expansion of offerings? We will continue to expand the range of products in India and grow to other markets across Asia and the rest of the world. Even in India, we are at less than 2 per cent of the addressable market and expect to grow at 30-40 per cent annually for the next decade. Our users are looking for convenience, reliability and innovative products. Our mission is using technology to create innovative products in the gold industry. We achieve this by building a technology driven ecosystem which includes consumers, banks, NBFCs, fintech platforms and jewellers, all connected through a common platform. How have you embraced new innovations to stay ahead? What benefits have these brought in? Our biggest innovation has been gold leasing. This has taken an idle asset that normally sits in bank lockers and made it into a productive, yield earning asset. We are also the first digital gold platform that has integrated with leading jewellery brands like Tanishq - this allows a SafeGold customer to seamlessly exchange their digital gold for jewellery at any partner retail outlet. What did AWS enable you to do better, and what benefits have you experienced running on AWS? The biggest benefit of AWS is the easy scalability. There is a surge in gold buying during various festivals where volumes can be 10x-20x of normal daily volumes. With our entire infrastructure on AWS cloud, scaling up to manage these surges is a very easy process. Managing something like this with traditional on-premises systems would be very tough. Secondly, it is easier to recruit engineering talent that is familiar with AWS. Other cloud platforms may be cheaper, but it is tough to find talent that is comfortable and familiar with platforms apart from AWS.

Despite Indian benchmark indices Nifty50 and Sensex gaining over 4% in June, Foreign Portfolio Investors (FPIs) have remained unenthusiastic, offloading Indian equities worth Rs 3,064 crore so far this month. In 2024 year-to-date, FPIs have sold stocks worth Rs 26,428 crore.This trend continued from May and April, when FPIs sold shares worth Rs 34,257 crore, even as domestic institutional investors (DIIs) remained buyers, supporting the markets.However, on Friday, foreign portfolio investors/FIIs were net buyers, purchasing shares worth Rs 2,175.86 crore while the domestic institutional investors (DIIs) bought shares worth Rs 655.76 crore. "The first week of June witnessed massive volatility in FPI flows in response to exit polls and the actual election results. FPIs bought equity worth Rs 6,521 crore on June 3 in response to exit polls. But when the actual results fell far short of what the exit polls indicated, the market crashed on June 4 and FPIs panicked, selling stocks worth Rs 12,259 crore," said Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.Following the roller coaster ride in the market in the first week of June, stability has returned, as indicated by the sharp fall in India VIX from 27 on June 4th to 12.82 on June 14th. "This fall in India VIX indicates the return of stability and a likely consolidation phase in the market," said Vijayakumar.Vijayakumar further added."The resilience of the market and eagerness of retail investors to buy every dip will likely force FPIs to reduce their selling, which was sustained in May. However, if the market continues to rally, FPIs may turn sellers in India and buyers in other markets like Hong Kong, which are very cheap compared to India."Earlier in March and February, FPIs were net buyers at Rs 35,098 crore and Rs 1,539 crore, respectively, after selling shares worth Rs 25,744 crore in January. On a net basis, they remain sellers at Rs 26,428 crore so far this year.(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of the Economic Times.)

Employers could soon be required to pay additional fees to extend work visas for foreign employees under a new proposal by the Department of Homeland Security (DHS). The proposed rule would mandate a $4,000 fee to extend an H-1B visa and a $4,500 fee to extend an L-1 visa. This is part of the 9/11 Response and Biometric Entry-Exit Fee, which currently applies only to initial visa petitions and changes of employers.The 9/11 Response and Biometric Entry-Exit Fee was established to fund national security programs, including systems to track the entry and exit of non-U.S. citizens. This fee, initiated by the Consolidated Appropriations Act of 2016, applies to certain H-1B and L-1 visa petitions.Current Fee StructureCurrently, employers with 50 or more employees in the United States, where over 50% of these employees are on H-1B or L-1 visas, must pay this fee for initial petitions or when there is a change of employer. The fees are $4,000 for H-1B petitions and $4,500 for L-1 petitions.Proposed ChangesThe new rule proposes extending these fees to cover visa extension petitions as well. This means that employers would need to pay the $4,000 or $4,500 fee not only for initial petitions or changes of employer but also for extending the employment period of existing H-1B or L-1 visa holders.Reasons for the ChangeDHS has outlined several reasons for this proposed change:Increased Funding Needs: The expanded fee will provide additional funds necessary for the biometric entry-exit system's continued operation and enhancement.Consistency and Fairness: The change aims to ensure that the fee applies uniformly across all petition types, promoting fairness.Enhanced Security: Adequate funding will help maintain and improve the biometric entry-exit system, which is essential for monitoring immigration and enhancing national security.Impact on EmployersIf implemented, the rule will increase costs for employers who rely heavily on H-1B and L-1 visas. Companies with a significant number of visa extensions may face substantial financial burdens, potentially leading them to reassess their hiring strategies and approach to extending employment for foreign workers.The DHS is currently seeking public comments on the proposed rule. Stakeholders and the general public have the opportunity to provide feedback until July 8, 2024.110149344