Blockchain technology will also help organisations
to tackle fraud. As an example, Everledger, which
emerged from the start-up accelerator programme
implemented by insurer Allianz France, has
developed a certification system for luxury products
that uses a mix of private blockchain/public
blockchain technology21. Everledger uses a
blockchain to create a global registry for precious
stones. Specifically, Everledger inputs
40 characteristics for every stone recorded (cut,
colour, clarity, etc.). This represents 40 metadata
components which are then used to create a unique
series number. This number will be laser-engraved
on the stone and added to the relevant blockchain22.
Once the database contains sufficient data (over one
million diamonds had already been recorded at
end-2016), if sellers cannot provide encrypted proof
that they own the rights to the precious stone, it will
be very difficult to sell. Any stones that are not
engraved with the serial number or on which the
engraving is difficult to see will lose substantial
value.
