The Ministry of Treasury and Finance has launched an initiative to prevent abuses related to “cut gold,” which has seen an increase in trading activity in recent times. As a result of this decision, cut gold has been prohibited. But what is cut gold, and why was it banned? Cut gold is a type of gold usually used for investment or jewelry purposes, with no specific shape or imprint. The name comes from the fact that gold is cut into small pieces of specific weights. This term, widely used in the jewelry industry in Turkey, is often used to describe types of gold such as gram gold, scrap gold, or gold with low labor costs. Investors typically prefer this type of gold due to its low labor cost.

Purity Level (Fineness):

It is usually produced as 22 carats or 24 carats.
24-carat gold is 99.99% pure gold and the most valuable form.
22-carat gold is 91.6% pure and more durable.
Weight:

It is usually sold based on grams (e.g., 1 gram, 5 grams, 10 grams, etc.).
Options with low gram weights are popular among small investors.
Shape and Structure:

It has a flat, thin, plate-like structure.
It is preferred for its easy portability and storage.
In 2025, the Ministry of Treasury and Finance imposed restrictions on the sale of thin strips of gold known as “cut gold” or “drawn gold” to prevent abuses in the gold market and to more effectively combat informal economic activities. Cut gold without a barcode or serial number paves the way for counterfeiting and fraud. This situation not only makes investors victims but also creates distrust in the market. This regulation was implemented to enhance trust in the gold market and protect investors.