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Hedera Blockchain Welcomes $3 Billion Tokenization of Diamonds and Luxury Items

Author: Content Editor
The World Gemological Institute (WGI) has partnered with fintech company Vaultik to tokenize $3 billion worth of luxury assets, including diamonds and gemstones, on the Hedera blockchain. This collaboration aims to modernize the diamond industry by ensuring authenticity, transparency, and security for certified assets. WGI-graded goods will receive blockchain-based digital certificates, providing immutable verification of their provenance, grading, authenticity, and ownership. The system also allows for insurance to be directly linked to the digital certificates, providing immediate protection for consumers' valuables. To prevent fraud, Token IDs will be laser-etched onto assets and NFC chips will be used to authenticate products. This partnership addresses challenges in the luxury market, such as fraud and inefficiency. Hedera's distributed ledger technology enables this initiative, and the Hedera Token Service (HTS) facilitates the creation and management of tokens on the Hedera network. The news of this partnership has led to an 11% increase in the price of Hedera's native token, HBAR, and a significant rise in trading volume.

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