ENVIRONMENTDiamond Industry Depends on Blockchain to Verify Real Gems

Maureen SantosFebruary 28, 20195444 min

They say diamonds are forever and a girl’s best friend. But if the stones are not genuine, will the old sayings still ring true?

Real diamonds are a rare find and very expensive. This could be the reason why the diamond industry is going through a phase of reformation around the world. De Beers – the global diamond monopolist – has announced that they will start creating synthetic diamonds.

De Beers’ subsidiary, Element Six, is establishing a $94 million synthetic diamond plant in Portland, Oregon. The laboratory will create artificial diamonds having a total weight of over 500,000 carats. The production of man-made gemstones is to increase the supply for possible applications in the jewelry and diamond industry.

When it comes to quality and chemical composition, the in-style faux diamond is almost the same as the natural ones. Because of this, gemologists frequently have a hard time identifying which one is the real stone. As the diamond industry increases the market, including the potential origin of the most expensive gemstone of a lifetime, assuring the genuineness is all but necessary.

The Russian startup, Bitcarat.com, together with the graduates from National University of Science and Technology proposed a unique way to distinguish synthetic diamonds from the real ones. They will use blockchain technology to preserve the financial assets of the merchants as well as the buyers. The technology will also completely ensure the originality of the diamonds.

“We offered a digital blockchain-based certificate for each natural stone. The technology will ensure the reliability of the history and authenticity of the stone through the use of the blockchain as a special mechanism for storing information. It will increase the added value of the diamond as a financial asset as well,” said startup founder, Alexey Dimitrienko.

Meanwhile, the first blockchain intended for colored gemstones has already been introduced to the market. The Provenance Proof Blockchain will enable customers to trace the etymology of all gemstones. The blockchain project is a segment of the Provenance Proof initiative. The Gübelin Gem Lab instituted the long-term program to devise services and technologies that will allow and boost more transparency in the gemstone industry.

Using the blockchain solution requires no fee and the data contribution including the access are free. Charges are shouldered by the Gübelin family to encourage transparency both in the gemstone and the jewelry industry.

Maureen Santos

She lets everyone become aware of what is happening to our beloved planet Earth and its inhabitants. She can take you beyond the space and find out how neighbor planets are doing. Moreover, she would open your eyes to the things what makes the Earth suffer including the living species and allow you to decide what you can do to help save the planet and the future generation.

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