Carats.io Pushing Diamond Blockchain Into Global Market With Kela Partnership

Blockchain, News | August 24, 2018 By:

Israel-based FinTech Carats.io has partnered with Chinese jewelry retailer Kela to build a bridge between the blockchain and jewelry industry.

Carats.io is establishing the first financial market for diamonds by combining the value of diamonds with the liquidity of cryptocurrency. It has created CARAT, a diamond-backed token which provides a solution for the need of a stable coin, basing its value on the positive appreciation of the diamond market. The company claims that it has created a state-of-the-art algorithm that has standardized price evaluation of the precious stones, and compares individual diamond grade to daily market conditions.

Established in 2007, Kela is a one stop shop for purchasing, designing, manufacturing and selling customized jewelry. It is the largest online diamond retailer in China and has 300 stores across the country.

Under the partnership, Carats.io will become Kela’s blockchain and technology partner, while Kela pursues the authentication of diamonds and the prevention of fraud. Additionally, Kela Founder Gou Feng will act as an advisor of Carats.io for the Asian markets.

Carats believes that the partnership with Kela will accelerate their goal to be the global authority and financial standard for diamonds.

“The cooperation with Kela, the largest online diamond retail in China, will accelerate the Carats.io goal of building the first financial market for diamonds, and will bring much more diamond trading to the market by using blockchain technology.” said Carats.io CEO and founder Avishai Shoushan.

Feng said that the cllaboration will allow both companies to explore and develop blockchain technology together.

“Blockchain technology has been behind the formation of a global ecosystem,” Feng said. “Kela will combine its business with blockchain technology, and comply with China’s rules and regulations.”

The partnership came after Carats signed an agreement with the Celsius network to include the CARAT token in their lending platform. It also partnered with the International Diamond Exchange (IDEX) to continue to develop and expand their Diamond Financial Index.