The Dubai Gold and Commodities Exchange (DGCX) will launch the region’s first spot gold contract with same-day physical settlement on Monday, June 22, providing bullion traders with a regulated alternative to traditional over-the-counter markets.

With this contract, DGCX aims to capture a larger share of institutional trading between European and Asian markets through immediate bullion delivery.

The contract is settled in UAE Dirhams and is backed by one-kilogram bars compliant with the "UAE Good Delivery" standard.

Global precious metals trading, particularly in exchange and over-the-counter markets, often operates on settlement cycles of one day or longer. These timelines can require participants to commit capital for extended periods and remain exposed to price volatility and counterparty risk until the settlement process is complete.

According to DGCX, the new contract reduces the settlement period to zero days, allowing eligible participants to execute trades and complete physical delivery through a network of approved vaults within the same trading day.

Ahmed Bin Sulayem, Chairman and CEO of DGCX, stated that the product is designed to meet specific liquidity requirements in the physical bullion market.

"As the market continues to grow, participants increasingly require faster, more efficient, and transparent methods for trading and settling physical gold," Bin Sulayem said. "The launch of the T+0 spot gold contract at DGCX represents a significant step in strengthening Dubai’s gold market infrastructure."

The launch of this spot contract follows a period of growth in trading volumes at the Dubai exchange.

In 2025, DGCX recorded a 30% increase in total trading volume compared to the previous year, with volume reaching 2,048,556 lots. The total notional value of contracts executed last year reached $46.96 billion. Average daily trading volume rose to 7,940 lots, while average open interest stood at 13,015 lots.