Rare Carat Inc., an e-commerce platform for buying diamonds, announced a partnership with London-based start-up Everledger Ltd. Everledger, a developer of immutable distributed ledger blockchain technology asset ownership, aims to provide more significant, transparent information about diamond sales.
Rare Carat runs a platform that enables individuals to search worldwide for their dream stone from a wide range of retail diamond specialists. Now, clients can get even more insights into the process with the aid of Everledger.
It is possible to track diamonds from their initial stage through blockchain from the time it was a raw material obtained from the ground until it was refined, cut, transported, and sold. The technology records each transaction that forms an immutable historical chain of evidence that can be audited at any time.
These immutable ledgers add an advanced technology layer to diamond supply chain regulatory enforcement, together with industry-standard methods of identifying diamonds. This is particularly important for diamonds, which are subject to ethical regulations and ecological issues.
“Diamonds may be transparent, but the diamond supply chain isn’t always as transparent as it could be,” said Apeksha Kothari, Chief Operating Officer of Rare Carat. “Rare Carat’s partnership with Everledger is a step in the right direction in improving much-needed transparency right down to the retail level.”
Everledger platform lets retailers quickly show that they comply with regulations by offering that their supply of diamonds is received from conflict-free areas and abides by industry standards.
This is becoming even simpler for diamond retailers as younger generations move from in-person purchases to online ordering due to the COVID-19 pandemic. Multimedia and information-heavy web pages and mobile apps make it easy to view reports about diamonds’ origin, including their ethical and sustainable sourcing.
“Consumers will get access to provenance reports and be able to reliably track the diamond through the blockchain,” said Kothari. “At Rare Carat, our mission is to help customers buy their diamonds with confidence. And part of this is providing customers with trust on ethical sourcing.”
The worldwide diamond industry accounts for USD 26.7 billion in polished diamonds, according to statistics and data monitoring website Statista State. Among all polished diamonds, the US has the largest share, with 48% of worldwide demand. It was estimated that some 142 million carats of diamonds were developed from mines globally in 2019 from Canada, Australia, the Democratic Republic of Congo, Botswana, South Africa, and Russia.
The enterprise-grade blockchain platform from Everledger has been successfully used by other industries, including gemstones, wine and spirits, apparel, and recycling, providing transparent supply chain tracking.