Diamond Firms Press Ahead with Blockchain

RAPAPORT...Indian companies Dharmanandan Diamonds and Hari Krishna Exportshave adopted blockchain technology to improve traceability of stones throughthe supply chain.Dharmanandan, a Mumbai-based manufacturer, has partneredwith technology company Everledger to place its diamond-tracking data onto ablockchain platform. The collaboration marries two existing projects:Everledger's diamond blockchain, which it launched in 2015, and Dharmanandan's DiamondTime-Lapse, a report that tracks a stone's journey from rough to consumer. Through the arrangement, it will now be possible to encrypt theinformation in Time-Lapse reports directly onto Everledger's blockchainplatform, at either the manufacturing or the retail stage. Consumers will then beable to view the entire provenance report with a mobile app, Everledger said ina statement last week. Dharmanandan and Everledger have named this jointinitiative the Diamond Time-Lapse Protocol. It will enable them to record keydata about a stone, including its origins, transactions and certification, onan immutable platform. Meanwhile, Hari Krishna has incorporated blockchain into itsupdated mobile app for diamond buyers. "Blockchain technology is secured using cryptography, whichmeans that no one can tamper with the data once it has been recorded, andbecause the data is stored across its network on multiple locations, iteliminates the risk that comes with holding data centrally," said BrijeshDholakia, CEO of Hari Krishna. "This ensures authenticity of information." A blockchain is a digital ledger providing a public,tamper-proof record of transactions. Several companies in the diamond industryhave expressed interest in using blockchain to improve transparency, includingDe Beers, which views its Diamond Blockchain Initiative as a way of revivingconsumer confidence in the sector.