Diamond Standard: Startup That Tokenizes Diamonds Raises $30 Million In Series A Funding
Diamond Standard, a blockchain startup that developed the “world’s only regulator-approved diamond commodities” — or essentially, diamond tokens — on Wednesday announced that they were about to raise $30 million in a funding round led by venture capital firm Left Lane Capital and investment firm Horizon Kinetics.
Additional participants, the company said in a press release, were venture investment syndicate Gaingels and startup investing platform Republic.co. The funding aims to expand production capacity and accelerate the distribution of the company’s offerings.
The company, which is licensed to operate in Bermuda as an issuer and seller of tokens and digital assets, makes Ethereum-based tokens backed by physical diamonds that can be sold on crypto exchanges.
The startup aims to “transform diamonds from an inaccessible $1.2 trillion natural resource, into the first truly physical and digital asset.” The token, which comes in the form of coins and bars, is positioned as a new asset class that will provide “a new store of wealth to both retail and institutional investors.”
“Following 20% returns last year, the Diamond Standard Coin has continued to generate a positive return this year, while the S&P 500 is down 14% and bitcoin is down 50%,” said Cormac Kinney, founder and CEO of Diamond Standard.
“Investors need a new uncorrelated asset class, and this capital will enable us to increase capacity and expand our offerings,” he added.
Information for this briefing was found via Diamond Standard, Blockchain, and the sources and companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.