- Allows a minimum purchase of 0.001g of gold
- Has 300,000 active users on its platform
INDONESIA-based startup IndoGold allows users to invest in gold through their platform without paying high production costs and helps store the gold with secure and reputable custodians.
IndoGold founder and chief marketing officer Indra Sjuriah (pic, right) says that he started the company in 2009 as antamgold.com and decided to rebrand to IndoGold in 2017 when he realised that the brand need to stand out.
“Initially, I started this business to help my customers to invest in gold with more flexible amounts. The biggest issue for them was they could not buy smaller bars at an affordable price due to the high cost of production.
“That makes the breakeven of investment become longer and not so lucrative. Our platform allows them to buy and sell in any amount they want without paying production costs upfront.”
IndoGold targets individual investors with middle and low incomes for the B2C segment. For the B2B segment, they companies with an Offline to Online (O2O) business model and wallet apps that offer digital goods or services.
“Individuals with middle and low income do not have many options for investment. The safest bets usually are certificate of deposit, bank savings, and gold. And gold is the easiest investment gateway that people can understand.”
IndoGold currently has nine partners, and more than 300,000 active users on its platform. It reaches them through events, digital marketing, and referrals.
Users need to register on IndoGold’s website or mobile app (incomplete features) to purchase gold, which will be stored in their vault, Antam (state-owned diversified miner), and UBS.
It also offers these services on several market places such as Bukalapak, Lazada, Blibli.com, Shopee, and Tokopedia.
IndoGold allows users to purchase a minimum 0.001g of gold or equal to 600 rupiah (US$0.04) with a minimum interval from 10 days to a year after which it can be withdrawn physically when it reaches a minimum amount of 0.5g. Users will be charged the gold production cost if they want to withdraw physical gold.
Indra says that the buying and selling rate depends on the market price. On average, gold prices rise around 6% to 8% per year and the company offers the best price for physical gold within regulations and taxation requirements.
IndoGold generates revenue from transaction fees and expects to double its revenue this year by collaborating with more partners.
“Our company gets audited by a third party public accountant that is acknowledged by Indonesian Financial Services Authority (OJK). And we are sure that every digital purchase is backed by real physical gold. We also work with banks and insured third party logistics companies for delivery.”
He says that the startup is currently bootstrapping and is open to strategic funding or partnerships that could bring value to the table and align with its vision, which is making gold investment accessible.
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