Russia plans to use blockchain for selling diamonds on China’s WeChat

By: Ali Raza
Ali Raza
Ali plays a key role in the cryptocurrency news team. He loves travelling during his spare time and enjoys… read more.
on Dec 17, 2019
Updated: Mar 11, 2020
  • The world's largest diamond producer plans to start using blockchain for tracking diamonds and proving their authenticity.
  • The company, known as ALROSA, has partnered up with China's platform WeChat and blockchain firm Everledger.
  • The firm will start selling diamonds via blockchain in China, while consumers will be able to instantly check the diamond's history and transfer ownership during purchase.

Blockchain technology is known for quite a few benefits and abilities, especially the fact that information stored on the blockchain becomes immutable. This ability to preserve data in its original form and prevent tampering has led to quite a few use cases for blockchain technology, one of which is the ability to use it for tracking diamonds and other goods.

Now, the world’s largest diamond producer, ALROSA, plans to use blockchain technology for that exact purpose. According to its recent announcement, this Russian firm plans to launch its blockchain initiative on China’s social platform, WeChat. The blockchain will then allow China’s retailers to easily identify diamonds and track their origin.

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ALROSA also partnered up with a tech firm, Everledger. This partnership will lead to the creation of an e-commerce solution that ALROSA needs in order to fulfill its goals, as it will be based on blockchain technology.

Diamond ownership will be transferred via blockchain

ALROSA plans to offer consumers increased levels of transparency, which will allow them to know the exact origin of the product, as well as their authenticity and characteristics. The diamond producer’s head of diamonds, Pavel Vinikhin, commented by saying that the company is very pleased to support the WeChat Mini Program in partnership with Everledger.

He added that the project will strengthen the firm’s desire to achieve sustainable mining, and provide full transparency of the supply chain. Furthermore, he expects that demonstrating the transparency of their business and the legitimacy of their diamonds on China’s most popular social platform is bound to strengthen the company’s sales.

As for consumers themselves, they will be able to use WeChat Mini Program to check each individual diamond instantly, via their phones. If they like the product, they can even purchase it via WeChat Pay, and then transfer the ownership of the diamond onto themselves.

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