Dr Amit Lakhanpal (left), CEO of Dubai-based Al Kasir Group and a representative from the private office of His Highness Sheikh Ahmed Bin Obaid Al Makhtoum
Al-Kasir Group, a Dubai-based company, has launched the world’s first diamond trading portal that uses blockchain technology – widely known for its use in the generation of cryptocurrencies.
The company on Sunday unveiled the three crypto-assets all backed by diamond which would see buyers of the assets receive a diamond equivalent of whatever they invest which they can subsequently trade or hold on to as a store of value.
Speaking at the launch of the assets in the plush Burj Al Arab in Dubai, Dr. Amit Lakhanpal, Chief Executive Officer (CEO) of Al Kasir Group said, “for the first time ever, the world is about to experience a set of three crypto assets backed by the International Gemological Institute (IGI) certified real diamonds.
“Being backed by a real-world asset, these three crypto-assets: Al Mas, Al Haqeek and Falah are better capable to store and translate value due to a base measure or gauge around which their value revolves.”
This is also the first time that crypto assets will be available for purchase over the counter as the company aims to open 1,000 stores across the world for this in all major markets including sub-Saharan Africa.
According to him, diamonds are an ideal asset backing for crypto-assets since they are rare, taking a billion years to develop, have several millennia of history as a recognized store of value and are small and therefore easily stored and transported.
Al Kasir Group, which has a jewellery trading license, said their crypto assets will be available for purchase on their online platform with a bonus on its private ledger or blockchain. Investments could be done from a minimum of US$250 to US$250,000 against which diamonds certified by Indian Gemological Institute will be given on completion of the Initial Crypto-asset Offering (ICAO).
“This is an asset which is backed by real diamonds, and the client will get a bonus asset on his wallet which he can redeem after August 15,” Dr. Lakhanpal told journalists.
“We have a jewellery trading license. We have just adopted blockchain technology to improve our sales. We are not into crypto currency …we have a private blockchain and whatever is issued by the blockchain will be taken back by the company and for that we don’t need a central bank’s approval,” Lakhanpal said, responding to details on his company’s operating license.
The Al-Kasir Group is a joint venture between Dr. Amit Lakhanpal and the private office of His Highness Sheikh Ahmed Bin Obaid Al Makhtoum who belongs to the royal family of the ruler of Dubai.
A case for crypto-assets
Although cryptocurrencies with their underlying blockchain technology are gaining popularity, many view them as objects of radical speculation and high volatility.
Dr. Lakhanpal stated that since cryptocurrencies are subject to potentially huge price corrections, they are practically poor store of value and means of barter-like exchange – giving rise to a need for a more secure alternative as provided by the three crypto-assets.
“These crypto-assets are designed to seamlessly address the need of security, combining the convenience of digital currencies by being utilized as crypto assets with the stability of traditional assets,” the CEO said.
Bitcoin and Ethereum are the world’s leading cryptocurrencies and with the ability of utilizing these cryptocurrencies for trading with these three crypto-assets, the Exchange (www.alkasirportal.com) will provide for smooth transitioning for crypto-investors who are keen on investing in these Diamond-backed crypto-assets.