Turning tradition into innovation

In Bangladesh, gold has always been more than a shimmering metal - it has an emotional connection. From a bride's cherished wedding gift to a family's quiet safety net, gold represents prosperity, pride and permanency. As the country's economy has grown over the years, the demand for gold has increased. However, despite all its sentimental and market value as a tangible asset, incorporating gold into everyday financial planning is riddled with concerns over purity and accessibility.

In such a context, a solution to the challenges of acquisition of gold for a variety of purposes has come through Gold Kinen, the country's first gold-purchasing app launched in April 2023. With its promise of simplicity and transparency, the brand is transforming how people buy, save and invest in gold, making it affordable for all.

Experience says that understanding gold's pricing can be challenging, especially in suburban and rural Bangladesh. The app displays the official 22-karat gold market price set by the Bangladesh Jewellers' Association (BAJUS). Its real-time transparency empowers people to get a fair deal and enhance their knowledge of their own investments.

Facilitated by this innovation, users can collect their gold - in bar or coin forms - accompanied by a certificate attesting to its purity and weight. An added assurance that is given through verification by trusted authenticators like Bangla Gold empowers users to make more confident purchasing decisions.

The app also democratises gold ownership. Starting from buying gold worth only Tk 500, people can purchase fractional amounts of gold at the official market price. This makes it accessible even to those who traditionally couldn't afford it. Thus, a broader audience has been allowed to embrace gold as a viable savings tool, fostering financial inclusion in an often-limited market.

Whether users want to purchase, save, gift or sell, everything can be done through a smartphone. Users can simply opt for home delivery or pick up bars and coins from designated points nationwide.

In view of the safety and security risks of storing physical gold at home, and the costs involved in keeping it in bank lockers, Gold Kinen offers secure, bank-grade storage facilities managed by Securex and insured by Green Delta Insurance. This ensures users remain worry-free with their gold securely protected.

On the other hand, selling traditional gold often involves bargaining on price and parting with jewellery laden with emotional value. Users are enabled to sell fractional amounts instantly at the official market price through the app. For gold bars or coins, transparent market-based resale rates are guaranteed.

Instead of seeing gold as a static asset - a bride's inheritance in the form of jewellery or a mother's safety net in times of need - the perception of gold is being reshaped. Gold is now emerging as a versatile, flexible, and practical savings and investment tool. It is appealing to women and men alike. Users on the platform have gained as much as 40 per cent in the past year, records show.

Gone are the days of uncertainty around owning gold. New ways of using it are unlocking further financial possibilities for everyday users. Gold isn't just a family keepsake anymore-it's becoming a dynamic part of smart financial planning for a brighter future.

The writer is a FinTech expert and entrepreneur and founding Director of e-CAB. shezanshams@gmail.com