Launched in 2021 by Touch ‘n Go Group (a subsidiary of CIMB Group and Ant Financial), Touch ‘n Go eMas has emerged as Malaysia’s leading digital gold investment platform, amassing 1.5 million users and RM500 million in transaction volume by Q2 2024. The app integrates gold savings, trading, and Syariah-compliant features, lowering entry barriers for retail investors in a market where physical gold ownership traditionally required high capital. With gold prices rising 18% YoY (Jan–June 2024), eMas offers a secure alternative to volatile equities and depreciating currencies, aligning with Bank Negara Malaysia’s push for inclusive financial technology.
How eMas Democratizes Gold Investment
Users can buy, sell, or redeem 24K physical gold in increments as small as 0.01 grams (RM1.20 as of July 2024) through its app. Gold holdings are backed by 99.99% LBMA-accredited bars stored in Royal Mint Malaysia vaults. Unlike conventional methods, eMas charges no保管费 (custody fees) for holdings under 50 grams, while fees for larger amounts cap at 0.5% annually. Its Auto-Save Dinar feature rounds up Touch ‘n Go eWallet transactions to invest spare change—a strategy that attracted 220,000 users, averaging RM43/month in deposits.
Partnerships & Syariah Compliance
eMas collaborates with CIMB Islamic to ensure AAOIFI-certified compliance, critical for Malaysia’s Muslim-majority population. All transactions avoid riba (interest), and gold liquidity is guaranteed via Bursa Malaysia Suq Al-Sila’s commodity murabaha platform. In 2023, eMas partnered with Royal Mint Malaysia to allow direct redemption of digital holdings into collectible bullion coins, enhancing trust.
User Base & Behavioral Insights
65% of eMas users are aged 18–35, primarily using the app to hedge against inflation (70%) or for short-term trading (25%). Women constitute 58% of investors, favoring its “set-and-forget” savings features. During the 2024 MYR depreciation (RM4.80/USD), daily sign-ups surged 300%, with users holding gold for an average of 8 months—double the tenure of stock trading apps like Rakuten Trade.
Seamless Integration with TNG Ecosystem
eMas capitalizes on Touch ‘n Go’s 20 million eWallet users, allowing instant gold purchases via FPX bank transfers or eWallet top-ups. Users can also collateralize gold holdings for microloans (up to RM5,000 at 8% p.a.) through its partnership with Funding Societies. Additionally, a pilot program with Pavilion Kuala Lumpur enables gold-to-voucher conversions at retail outlets.
Security & Transparency
All eMas transactions are secured via blockchain ledger technology, with two-factor authentication (2A) and biometric sign-ins. Physical gold reserves are audited quarterly by SGS Malaysia and insured by Lloyds for up to RM100,000 per user. The platform’s Gold Inventory Live Tracker, updated hourly, displays vault holdings—a transparency feature lacking in rivals like HelloGold.
Market Impact & Competitor Landscape
eMas controls 68% of Malaysia’s digital gold market, dwarfing Wahed Invest’s RM50 gold-backed portfolio (15%) and HelloGold (10%). Traditional jewelers like Poh Kong and Public Gold have responded with apps offering discounts on physical purchases, but convenience and lower fees keep eMas dominant.
Gold’s Performance & Economic Context
As global uncertainties fuel demand, Malaysia’s gold reserves rose to 38.1 tonnes in 2024 (up 6% YoY). eMas users benefited from real-time global gold pricing (pegged to XAU/USD) during geopolitical events—e.g., RM8.80/gram gains within hours of the 2024 Taiwan Strait tensions.
Challenges: Volatility & Awareness
Gold’s 12% price correction in April 2024 triggered panic selling among 20% of novice eMas users, prompting the platform to introduce educational webinars, now attended by 5,000 users monthly. Rural adoption remains low (12% of users), necessitating collaborations with Maybank and Pos Malaysia for cash-to-gold kiosk access.
Future Roadmap
eMas plans to launch a Gold IRA retirement feature (Q4 2024) and partner with Thailand’s Gold Blockchain to allow cross-border gold trading. Sustainability initiatives include carbon-neutral gold sourcing by 2026 and recyclable packaging for redeemed bullion.
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