Jewellery trade sees increase in peer-to-peer networks
The peer-to-peer (P2P) communication model, in which client and server are one, has finally made its way to the jewellery industry.
The new program, called The Hong Kong Accredited Diamond Exchange (HKADE), provides the first online P2P global diamond marketplace. Only loose white diamonds of 0.85 carats or more can be listed on the site, and they must first be certified by the GIA or AGS.
“There is a big gap between the retail price and resale price of diamonds. This is because information about the diamond market is not always clear,” says Mr. Shih Wing-Ching, the program’s backer. “But if we directly connect buyers and sellers through the Internet, this price gap can be greatly reduced.”
Additionally, the program features a secure storage service. “Every diamond we store comes with a Safe Keeping Receipt (SKR), which can be instantly verified online as proof of asset ownership,” Says Cherry Leong, the company’s co-founder. “SKRs not only includes all verification data of the stone, but also features a 360-degree video of the diamond, serving as a photo ID. As long as the stone is kept in our custody, users can trade in SKRs more quickly and seamlessly. It is just as easy as trading in gold!”
However, end-user-to-end-user connection usually does little control in quality or even authenticity. To address this concern, HKADE provides rigorous verification of every traded diamond with the help of highly-trained experts and GIA equipment. The Seller also has the option to send the stone for verification before listing or after purchase. This allows individuals without trading experience to shop with confidence.