- Bitcoin technology helps De Beers to track diamonds from mine to jewelry shop.
- The program would help to avoid buying fake diamonds.
De Beers, the world’s largest diamond producer, stated that it has tracked its first diamonds all the way from the mine to jewelry retailers using the Blockchain technology.
De Beers, who is presently testing out a plan to create a virtual ledger of diamond sales using the blockchain technology, stated that 100 high-value stones were tracked all through the cutting, polishing and manufacturing stage to the final retailer using the technology. The firm has the intention of launching the platform later this year.
The technology would enable De Beers to disclose transactions to all participants while keeping their identities and the values hidden. The technology is intended to give buyers confidence that the gems they are buying are neither fake nor conflict diamonds, which were used to finance war, terrorism or tyranny. More so, the technology would also reassure bankers, who had been a victim of fraudulent business cloaked in secrecy.
The blockchain program, called Tracr, will give every gem a unique ID that stores the characteristics of the diamond such as weight, color, and clarity. De Beers concludes that the gem information can prove the origin as the diamond moves from hand to hand, from rough to polished.
Bruce Cleaver, CEO for De Beers, stated that:
“The Tracr project team has demonstrated that it can successfully track a diamond through the value chain, providing asset-traceability assurance in a way that was not possible before, [which is “a significant breakthrough.”