Buying Gold in 2026: What Happened to Sovereign Gold Bonds, the Monetisation Scheme, and Digital Gold

The menu of ways to buy or hold gold in India looks different in 2026 than it did a couple of years ago. Two government schemes have effectively wound down, one popular online product still sits outside any regulator, and physical, hallmarked gold remains what it always was. Here is where each stands.

Sovereign Gold Bonds have stopped issuing

No new tranche of Sovereign Gold Bonds has been issued since February 2024, and there is no issue calendar for the scheme, so it is effectively closed to fresh subscriptions. Bonds already held continue to pay interest and can be redeemed at maturity or through the permitted premature-exit windows; several tranches are eligible for redemption through the second half of 2026. From 1 April 2026, a Budget change limited the capital-gains exemption at maturity to original subscribers who hold for the full eight years.

The Gold Monetisation Scheme has been pared back

The medium and long-term deposit portions of the Gold Monetisation Scheme were discontinued for fresh deposits from 26 March 2025. Only short-term bank deposits continue, at each bank's discretion. In 2026 the RBI Governor confirmed that no new version of the scheme is under consideration.

Digital gold is still unregulated

Digital gold, bought in small amounts through apps and wallets, remains outside the purview of both SEBI and the RBI, because it is not treated as a security. SEBI has kept a standing advisory in place cautioning investors about this gap. Buying continues to grow regardless, but the point stands: there is no financial regulator behind a digital-gold purchase the way there is behind an ETF or a bank deposit.

What that leaves

With the two government schemes wound down, the practical options in 2026 are:

• Gold ETFs, regulated financial products that track the price and hold audited gold on your behalf.
• Digital gold, convenient and low-ticket, but unregulated.
• Physical gold, coins, bars, and jewellery, which you hold directly and whose purity is certified by a BIS hallmark and HUID.

Where certified purity fits

Each option answers a different need, and only physical gold puts metal in your hand. When you take that route, the assurance that stands in for a regulator is the hallmark: a BIS mark with a verifiable HUID tells you the fineness has been tested by an independent centre. For a coin, a bar, or a piece of jewellery, that verification is the difference between trusting a seller's word and checking it yourself in the BIS Care app before you pay.