Why is the Diamond Industry Excited About Blockchain Technology?
Diamonds have become a big issue in the modern day with their representations sometimes being skewed by the methods behind their procurement. In the modern day, it can be a challenge to make sure that the diamond you are buying is not only authentic, but it is coming from a place where conflict is not in play.
Blockchain technology, which uses a distributed computing technology, that currently powers Bitcoin, could possibly become a solution to this problem. The main idea behind blockchain is the idea that there is a indelible, and transparent ledger that cannot be tampered with. This type of record-keeping could essentially transform the very industries that need it most. Those industries can range all the way from shipping, insurance, and especially finance. One of the first industries to fully accept this technology, has slowly become that of the diamond business.
One company based out of London, known as Everledger has put up over 1.6 million diamonds using blockchain. Entries that are made onto the digital record include information about the diamond such as color, carat, and certificate number, which are often put onto the diamond via the a laser.
Leanne Kemp, who serves as Everledger’s chief executive stated that “we create a digital twin of the object on the blockchain.” This technology has helped to ensure that crime is not being committed on behalf of the diamond and can ensure that there are proper certifications in place when purchasing a diamond.
The ledger has been known to be referred to as a “digital vault” of sorts and serves as just that. Since Everledger is one of the first companies to focus on industrial supply chains, the technology is relatively new. The hopes are high however that this ledger technology will one day ensure the safety and security of a purchase in various industries across the board.