Diamond traceability on the Blockchain (Diamond Centre Wales)

Diamond traceability on the Blockchain

Using LTO Network, Diamond Centre of Wales’ specialistic nano-engravement technology and Scantrust’ Smart QR codes, a diamond traceability platform has been created for jewellers, pawn brokers and insurers to independently check a diamond's status - Called Seculuxe.


Involved parties

SecuLuxe is a blockchain-enabled diamond traceability and recovery suite set up by LTO Network blockchain integrator & creative agency 15000V - creating a safer diamond and other luxury goods ecosystem for all parties involved.

Business challenges

Digitalisation of diamonds certificates

A diamond alone does not have any specific identification number. Usually, every diamond receives a certificate, which includes all crucial information regarding a diamond, such as the owner, serial number and characteristics of the diamond. However, these certificates exist mostly only as a paper document, which decelerates any digitalisation measures.

Collaboration between parties

A collaboration platform between the potential parties, customer, jeweller, pawnbroker, police office and insurer in the diamond ecosystem does not exist and would be difficult to maintain and trust in real time.

Ownership of the diamond

As the certificates are paper-based, they are prone to manipulation or stealing. Furthermore, a diamond, as a high-value good, is a potential target for thieves. The integrity of ownership is not ensured at all times and transferring a diamond without a third party expert comes with a high risk.

Solution overview

Engraving Diamonds

With the help of special nano-engraving technology, the diamonds receive a specific engraved serial number. The engravement is part of the certification process and matches the number on the diamond’s certificate. The serial number is linked not only to the diamond and its certificate but also to an online entry that enables the immediate check whether a diamond is stolen or not.

LTO Network - Rock
LTO Network - Rock

Smart certificates

After the successful engravement of the diamond, the certificate is enhanced by adding a smart QR-code sticker. Scanning the QR code displays crucial information about the diamond, such as the current owner or serial number.

Information integrity

The certificates are recorded (hashed) on the blockchain platform of LTO Network. This anchoring process is an efficient way to timestamp data and to create immutable and transparent certificates. Furthermore, the updates and changes to a certain certificate are recorded (hashed) again on the blockchain platform, so that always the most current information, such as owner, is displayed when scanning the QR-code or checking the serial number.

LTO Network - Rock

Advantages using LTO Network

LTO Network - Rock LTO Network - Rock LTO Network - Rock LTO Network - Cost savings

Linking a diamond’s audit trail

For high-value objects, like diamonds, it’s critical to know its authenticity, but also its origin. The Seculuxe solution built on LTO Network can easily click into existing value chain traceability solutions to guarantee provenance data. This will allow for the verification of a diamonds origin, eliminating ethical discussions that come with diamonds from sensitive regions.

LTO Network - Rock LTO Network - Rock LTO Network - Easy integration

Only on a need-to-know basis

Using nano-engraving technology, only the owner will know that his diamond is safeguarded on the LTO Network blockchain. With future engravement-as-a-service possibilities, access to this technology will be much easier, making it harder for thieves to re-sell stolen diamonds without professional technology, essentially making the industry safer as a whole.

LTO Network - Rock LTO Network - Rock LTO Network - Compliant by design

Transferability of diamonds

Using 15000V’s upcoming mobile luxury-good transferability application using LTO Network’s associations, it will be much easier to transfer diamonds between parties without the need for a trusted third party. This will allow for less fraction and more efficiency throughout the whole value chain.

LTO Network solution
Traditional solution
Data sharing
LTO Network solution
LTO Network solution

Once the diamond is digitised and put on LTO’s blockchain, which allows decentralised collaboration, every involved and interested party can review the current owner (hash) of the diamond or if it has been declared stolen.

Traditional solution
Traditional solution

A diamond is a high-value asset which is prone to be stolen. Currently, no collaborative measures exist to ensure data sharing.

Transfer of ownership
LTO Network solution
LTO Network solution

The diamond with its unique engraved reference number can be transferred at any time. The transfer includes not only the certificate and the diamond itself, but also the blockchain entry will be updated with the new owner.

Traditional solution
Traditional solution

At the moment, diamond trading involves multiple parties to ensure the authenticity and trade of the diamond.

Data integrity and Transparency
LTO Network solution
LTO Network solution

The certificate is equipped with a QR-code sticker which is destroyed when someone tries to get off the certificate. Furthermore, the anchoring process on the blockchain ensures the integrity of the certificate and diamond at all times.

Traditional solution
Traditional solution

Currently, a paper-base certificate can easily be manipulated or even destroyed.

We strongly believe that blockchain combined with nano marking using laser scribing, with photonics to uniquely mark the diamonds in a non-destructive way, is the answer for secure tracing and identification. Working with CPE partner Bangor University has clearly showed this is possible in their feasibility study, and we would look forward to working with them again to fully explore this innovative process to scale this solution globally.

Kelvin James
CEO of Diamond Centre Wales
LTO Network - Rick Ros

Software Vendors

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