Blockchain-based diamond commodity exchange CEDEX announced that it has secured over 6,000 diamonds worth more than $50 million to start trading on the platform.
How The Platform Works
CEDEX aims to transform diamonds into a new commodity and make the diamond market accessible to everyone which is till now limited to just a few of investors. The exchange will leverage blockchain technology to transform diamonds into digital assets and will additionally use advanced machine-learning algorithms to rate the exact value of any diamond. The firm plans to create a solid investment asset for trading that will expectedly increase diamond supply and demand, and revolutionize a traditionally-closed market.
Notably, the each and every diamond listed on the exchange will be unique in nature which will allow traders to invest in stones of different size and value, and thus diversifying their portfolio and mitigating market risks.
Problems in the Current Diamond Market
The current diamond market is worth $90B. However, the diamond financial investment market is only worth $1B. This large discrepancy is mainly because of three obstacles which are hindering the diamond financial market: a lack of pricing transparency, liquidity and standardization. CEDEX pledges to overcome these obstacles and aims to create the first diamond commodity exchange with technology that rates diamonds, allowing them to be easily traded on their exchange, with no prior diamond knowledge required. The firm is set to creating a secure and transparent investment market, currently estimated at $350B.
The company is currently in continuous touch with exchanges, brokerages and ETF issuers to offer an Application Programming Interface (API), which would make it easier to integrate new assets into exchanges.
The CEDEX Coin
The CEDEX Coin, is a new ERC-20 compliant cryptocurrency and can be transferred for trading and investment purposes, on the exchange. Further, all activities on the CEDEX exchange, and eventually within the diamond trading market, will be conducted solely using the CEDEX coin.
To trade diamonds like a piece of cake, visit: https://platform.cedex.com/signup