How Gemstone Tokenization Works: A Step-by-Step Guide
This page walks through the intended lifecycle of a tokenized gemstone. It is the educational version of GemReserveโs product walkthrough.
1. Source
Stones come from mines, cutters, dealers or collectors. Provenance documents, invoices and export papers sit with the file from day one.
2. Verify
An independent laboratory tests identity and, where offered, origin and treatment. Reports from labs such as SSEF, Gรผbelin, GIA, GRS or IGI are referenced on the asset record when they exist. Details: independent verification.
3. Appraise
Value is an opinion at a date, not a guaranteed future price. Appraisals should name the method and the comparables used.
4. Secure custody
The stone is sealed, identified and stored. Inventory counts should match the on-chain record. See custody and vault structure and proof of reserves.
5. Tokenize
A smart contract mints a token that points at the passport. Contract addresses and token IDs belong in the public record when issuance actually happens. Today GemReserve is still pre-launch.
6โ8. Own, transfer, redeem
Transfers follow the token standard and any KYC rules. Redemption returns or delivers the physical stone against retirement of the token, subject to jurisdiction and fees. See physical redemption and eligibility and KYC.