(NEW YORK) – The International Gemological Institute (IGI) has made history through an unprecedented partnership with Diamond Standard. Diamond Standard recently received regulatory approval to offer the world’s only market traded diamond commodity – the Diamond Standard Coin.
Diamond Standard selected IGI to receive (in eight global locations), inspect and sort all diamonds used in the commodities, and to assemble the high-tech coins in IGI’s labs.
The $25 million initial offering was launched on February 16, enabling institutional and individual investors to trade and hold a fungible diamond commodity for the first time. According to IGI, Diamond Standard Coins each have the same market value, and are being listed on commodity exchanges. The market price is determined by buyers and sellers – just like gold.
“This partnership is a monumental step forward for the diamond industry,” remarked Avi Levy, president of IGI North America. “We are uniquely positioned to support global investor demand for the diamond commodities, and are delighted to collaborate with Diamond Standard.”
Priced in the initial offering at $5,000 per coin, IGI is tasked with receiving, inspecting and validating the authenticity of over 50,000 natural diamonds, which are acquired through the Diamond Standard Exchange using automated market making and transparent bidding. After a global settlement process, IGI will assemble the diamonds, sealing them into a transparent coin with a sophisticated wireless computer chip. Lastly, IGI uses Diamond Standard’s specialized equipment to analyze and enroll the Diamond Standard Coin onto a blockchain, creating a regulator-licensed digital token that is used to transact the Coins.
“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. “We are excited to begin a long relationship, together delivering a revolutionary new asset to the market.”