Mr Viral
SHANGHAI — A dozen people crowd around a claw machine-sized ATM, where the gold is melted at 1,200 degrees Celsius. Staff move quickly to manage the surge, guiding customers through the steps as curious onlookers watch jewelry vanish into the machine’s tray.
Among them is He Xiaofang, 49, who sells nearly 90 grams of gold, mostly in old bracelets and necklaces, walking away with over 60,000 yuan ($8,000). The process takes less than half an hour. No bargaining, no paperwork, just a bank transfer and a quiet exit as the next customer steps up to Shanghai’s first gold ATM.
With gold prices soaring to record highs, the machine is drawing long lines — older sellers eager to cash in, younger buyers quietly tapping through menus, betting on gold’s rise. Driven by uncertainty over U.S. tariff policies and their potential economic fallout, prices began climbing sharply on April 9 and 10. By early Thursday Beijing time, spot gold prices — the price of gold as traded on the stock market at a particular time — had surged to a record $3,357.92 per troy ounce (787 yuan per gram).
Installed on the second floor of Global Harbor, one of the city’s busiest malls, the machine offers an automated, no-haggle alternative to jewelry stores: real-time purity checks, live pricing, and quick bank transfers.
He Xiaofang’s gold weighed in at 89.74 grams with a tested purity of 99.99%. Based on the Shanghai Gold Exchange’s live rate of 781.70 yuan per gram, the machine calculated her payout, minus a 1,615 yuan service fee. The price had risen 7 yuan per gram in the 15 minutes prior — a difference He noticed, and welcomed.
The machine then conducted a second test by melting the gold down to verify purity. The process took about 20 minutes, during which customers could monitor the procedure in real time on a screen above the tray. With the second test matching the first, He keyed in her bank details, confirmed them with the staff, and completed the transaction: gold in, money out.
Since last week, Le Chunxiang, the on-site staffer managing the ATM, has noticed a sharp uptick in traffic, driven by surging gold prices. Over the past week, the machine has seen steady lines from 10 a.m. to 10 p.m., averaging 30 transactions a day. On especially busy nights, Le has worked until midnight, guiding customers through staff-only corridors after the mall closes.
According to her, about 70% of users are local women between the ages of 50 and 70. “They usually visit during the day, bringing in older-style gold jewelry to exchange for money,” she said. “This generation values gold the most and tends to own more of it than younger people.” She added that the machine’s free, non-destructive purity test also draws in curious passersby eager to try the technology.
Gold has long held deep cultural value in China as a symbol of prosperity, protection, and good fortune. Traditionally gifted during weddings, births, and festivals, it’s been a favored store of wealth, especially among older generations.
But according to the World Gold Council, buyers aged 35 to 55 still lead in spending power, while younger consumers are catching up fast. Those born after 1990 now make up more than half of China’s gold consumers, and people aged 18 to 34 account for over a third of all retail gold jewelry sales. For many, gold is a bet on the future.
At the mall, Sixth Tone observed wait times stretching up to three hours. Zhang Yewan, a man in his 30s, finally reached the front of the line at 8 p.m., three hours after securing his ticket.
“Shops often advertise ‘high-price buyback schemes,’ but the actual pricing is vague, and I don’t fully trust the valuation,” he said. “With a machine, at least the process is standardized and transparent. Even if the price difference isn’t huge, I’d rather rely on the technology.”
Zhou Xiaopu concurs. The 55-year-old came with his wife and a 5-gram bracelet, mostly out of curiosity. He said the machine’s appeal lies in its simplicity and transparency, and in avoiding unnecessary conversation. “People today prefer to avoid dealing with others face to face,” he said.
Most jewelry chains, by comparison, buy gold at a fixed internal rate (768 yuan per gram on Thursday with added deductions for non-house brands). For many customers, the ATM’s live pricing and flat fees are a plus.
Zhou has tried both private gold shops and state-owned ones. The former, he said, often lures customers with promises of high prices but leaves room for disputes. The latter offers lower rates and colder service. “The ATM is simple, clear, and refreshing,” he said.
Developed by Shenzhen-based Kinghood Group, such machines have already been rolled out to around 100 cities across China, showing up in malls, office buildings, and bank branches. In Shanghai, a second unit is slated to open soon — a sign that demand is only growing.
Editor: Apurva.
(Header image: Customers queue up at Shanghai’s first gold ATM, April 16, 2025. VCG)
