International Gemological Institute (IGI), the global leader for gems & jewelry grading, joins hand with Diamond Standard to launch - Diamond Standard Coin, the first of its kind investment product which can be traded on the market as a regulated commodity, similar to gold.
The Coin is the world's first regulator approved, exchange traded, fungible diamond commodity that contains a set of statistically calibrated diamonds and a military-grade wireless encryption chip, allowing buyers to authenticate, audit and trade this brilliant new asset electronically, using blockchain technology.
Under the collaboration with Diamond Standard, IGI will be responsible to receive, inspect and validate the authenticity of over 50,000 natural diamonds acquired through the Diamond Standard Exchange using automated market making and transparent bidding. Post which, IGI will assemble the diamonds, sealing them into a transparent coin with a sophisticated wireless computer chip. Specialized equipment will be used to analyze and enroll the Diamond Standard Coin onto a blockchain, creating a regulator-licensed digital token that is used to authenticate, audit and transact the coins.
Commenting on the announcement, Shaunak Shastree, General Manager IGI, said “It is a colossal step forward for the diamond and associated sectors. Diamonds are the only top ranked precious natural resource that are not commonly held by investors, and with the launch of Diamond Standard Coins we are unlocking the value of diamonds as a secure asset. We are proud to be one of the few institutions to continue to innovate and contribute to the sector, and Diamond Coins will be a new benchmark we achieve.”
“IGI’s expertise, global footprint, flexibility, and long-standing reputation of excellence made them a key partner in our pursuit to develop a regulator-approved diamond commodity,” said Cormac Kinney, Founder and CEO of Diamond Standard. "The concept of diamond being used as a trading commodity is relatively new, and hence our partner like IGI will add value in instilling confidence amongst the investors. Diamond trading will be a game changer in the coming days in the world of trade. We are excited to begin a long relationship with IGI.
The offering price of the Coin is $5,000, payable in USD or ETH. There are 5,000 Coins available for an initial commodity offering of $25 million. Following the initial sale, the market price of the Coin will be established by independent trading on various digital exchanges. Like gold, there will be a daily fix, used to settle the futures and options, report the net-asset-value for any securities, and mark-to-market institutional funds.
Apart from the recent collaboration with Diamond Standard, IGI was also in news for being recognized with ISO 17025 accreditation. The accreditation confirms that the accredited laboratory is able to produce precise and accurate test results using calibration data, and traceability of measurements to the best quality standards.