A tremendous game-changer for the jewelry industry is based on the transformational effect Blockchain will have on the gold and diamond industry. This collaboration is among responsible and ethical organizations across the jewelry industry, supported by governance and guidance. Learn about the TrustChain solution and see it in action. Hear from Mark Hanna, CMO Richline Group and Catherine Malkova, IBM GBS Partner, Cognitive Process Transformation. Rewire your industry with IBM Blockchain: https://ibm.co/2IPGLId

1. TrustChain
THINK Presentation
J a n u a r y | 2 0 1 9
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VERSION 0.8

2. World Luxury Jewelry Market
“It will become increasingly important for luxury
brands to be completely transparent about their ethical
stances and show that they care about the planet and
its people.”
-
EUROMONITOR INTERNATIONAL (2018)
73%
MILLENNIALS WILLING TO PAY MORE
FOR SUSTAINABLE GOODS (NIELSEN 2015)

3. TrustChain™
This blockchain collaboration between The Richline Group and IBM will track and authenticate diamonds,
precious metals and jewelry at all stages of the global supply chain, from the mine to the retailer.

4. 4TRUSTCHAINOVERVIEW
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Our ambitions …
1. TrustChain™, will track and authenticate diamonds, precious metals and jewelry at all stages of the global
supply chain, from the mine to the retailer.
2. TrustChain™ utilizes IBM’s advanced technology solution developed to improve global provenance in the
diamond and jewelry supply chain.
3. This is a unique collaboration that leverages IBM’s technology and the UL, independent third-party
verification, together with five diamond and jewelry companies that represent the entire supply chain: Rio
Tinto Diamonds (diamond supplier for Proof of Concept only), Leach Garner (precious metals supplier),
Asahi Refinery (precious metal refinery), Helzberg (US jewelry retailer) and the Richline Group (global
jewelry manufacturer).
4. The TrustChain™ diamond and jewelry collaborators already employ best practice in management of their
supply chains, with TrustChain™ linking the parties together to provide a new level of assurance to
consumers regarding the traceability of their jewelry.
5. The TrustChain™ collaboration is well positioned to engage with the wider industry on a solution that will
improve efficiency in managing the movement and provenance of diamonds and precious metals.
SOURCE: Trustchain Website

5. “The global
blockchain market
is expected to reach
$5.4 billion
by 2023”
Blockchain technology will serve as a key
component in ensuring the sustainability of
consumer demand for luxury jewelry
“
”

6. 6BLOCKCHAIN101
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A simple overview of blockchain
In essence, blockchain is a technology which facilitates the exchange of trust. Whether this is the exchange
of trust within the context of a business network (tracking the provenance of a supply chain) or a public
network (cryptocurrencies), blockchain technology and the concepts it facilitates is challenging how
governments and companies alike consider how they interact with their stakeholders.
However, at its core blockchain is a distributed ledger. A ledger being the system of record. And distributed
being a common view of the ledger held by a number of parties, with multiple versions of the truth.
The are six key aspects to blockchain
1. Provenance; enable any asset to be secured to a ledger, physical or virtual
2. Consensus/Inclusion; all parties agree to a network verified
3. Finality; once an operation is completed, that operation is completed for good
4. Permissions; ensure appropriate visibility, transactions are secure and authenticated
5. Immutability; once data has been written no one can change it
6. Smart Contracts; dynamic agreements on how to execute transactions

7. 7BLOCKCHAIN101
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Applying blockchain to the jewelry industry
Focusing on the core principle of blockchain facilitating the exchange of trust, there are several applications
for the jewelry industry.
1. Provenance and authenticity of the product I; being able to demonstrate the provenance,
authenticity and heritage of items of jewelry and creating experiences for the end user (e.g. enhancing the
purchase experience, insuring jewelry products, securing the resale process)
2. Provenance and authenticity of the product II; being able to enhance demonstration of ethical
sourcing
3. Enhancing sustainability and compliance across the supply chain; being able to track, audit and
ensure compliance requirements for responsible jewelers, plus reduce spend on random auditing.
4. Streamlining the supply chain; being able to minimize the order, invoice and reconciliation process
across the jewelry supply chain
5. Batch identification and tracking; being able to identify where in the supply chain batches of product
are at all times.

8. 8INITIALPROOF-OF-CONCEPT
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9. 9INITIALPROOF-OF-CONCEPT
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Development of consumer concepts
In conjunction with the core focus of the initial POC, we have
explored potential consumer experiences that could be developed to
demonstrate the provenance and authenticity of jewelry.
Consumer experiences have been grouped into 5 categories:
1. the shopping experience
2. telling to story of the ring, now and in the future
3. insuring the ring
4. upgrading the ring
5. selling the ring
The concept work has focused on developing an example of a
consumer experience relating to telling the story of the ring from mine
to retailer, and letting the individual record the story of the ring once
they’ve received it.
A simple clickable prototype is available here:
https://xd.adobe.com/view/a422cf91-6c57-49a9-5753-46cdcc598b23-d213/

10. 10NEXTSTEPS
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Next Steps
1. Focus on consumer concepts and retail presence
2. Expanding consortium for wider group of industry participants
3. Commercialization and scaling to full production platform

11. © IBM CORPORATION - PRIVATE & CONFIDENTIAL
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12. 12MillenianResearchTrustChain
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