The diamond grading system was never so secure and safe! Thanks to the promises being made by the diamond industry’s newest friend! We are talking about blockchain technology. With tremendous advancements being made in the field of distributed ledger technology; blockchain comes as a game-changer for many. Diamond trading is one of the most important aspects of the diamond industry especially since it sets the price levels of the diamonds. If a diamond is graded properly, then the right price level is set in the market. As a casual reader, one might be astonished to know that the diamond grading process has been under some speculations and often leading to miscommunication. The traders and the merchants often failed to come down to a negotiable price when they had multiple options with significant price differences.
Blockchain will bring about a major transformation to the entire grading system. The distributed ledger technology would also ensure uniformity in the diamond grading pattern which was otherwise very skewed. Conflicting grading reports from the same mines would now be integrated through a uniform diamond grading system marked with unmatched –
- Accuracy – The accuracy of the blockchain technology is unmatched especially when it comes to a comparison with other centralized platforms. It simply surpasses every other platform in its league owing to its inherent nature of hashing, interconnectedness and democracy. Well, there are only a few other platforms that can match blockchain in terms of its accuracy.
- Transparency – While being transparent, the system can actually implement a very transparent ecosystem of trade where the participants can see everyone. Thus, it comes impossible for hackers and spammers to mask their presence within the blockchain network. With transparency comes unmatched trust among the member participants.
- Provenance – The origin of each transaction within the blockchain-based ecosystem can be backtracked to the origin. Let us think of a system where the first transaction to the latest transaction is safely recorded in the ledgers.
With near perfection in record keeping and data storage, the blockchain-based diamond grading solutions are ought to replace the legacy systems. This would automatically create a better trading periphery for the participants who can get value for their products.