Blockchain startup Emergent Technology Holdings (EmTech) has announced that its gold supply chain ecosystem has received a shariah-compliance certification from sharia advisory company Amanie Advisors.
EmTech provides a blockchain platform, called Responsible Gold Supply Chain Application (RG SCA), that tracks responsibly sourced gold from mine, to refinery, to vault, and then digitizes that gold into secure G-Coin tokens for investing, sending and spending globally. The company operates in more than 70 high-growth markets across Asia-Pacific, Latin America, Africa and the Middle East.
According to EmTech, the Shariah Supervisory Board of Amanie Advisors, which provides shariah advisory services to a wide range of clientele including financial institutions, corporations, and governments, found that the RG SCA and G-Coin tokens exceed shariah requirements on transparency and ethical trading.
Mohd Daud Bakar, Amanie Advisors founder, said that the usage of blockchain in delivering the solution to create a transparent and ethical ecosystem is timely, adding that shariah principles demand transparency, traceability, and accountability.
“The Shariah-compliant endorsement of the RG SCA and the issuance of G-Coin tokens will give confidence to Islamic investors and gold players to participate in this initiative and play bigger roles to create a more ethical and conflict-free ecosystem,” Bakar said.
Matthew Keen, EmTech’s Managing Director, Responsible Gold Trading DMCC, said that this shariah endorsement opens the Islamic community to an unprecedented asset class.
“For the first time, over one billion Muslims can buy Shariah compliant responsibly sourced gold with provenance assured,” said Keen. “Gold miners and refiners who use the RG SCA demonstrate their commitment to ethical sourcing and traceability. This Shariah accreditation will reward the gold industry with new sources of demand, as well as new funding opportunities from the Islamic community.”
EmTech’s RG SCA mobile app allows supply chain participants to scan tamper-proof cryptographic seals attached to gold to create immutable provenance and custody records. It claims to provide irrefutable assurance that gold has been produced ethically and in adherence with the highest industry standards by recording all information on EmTech’s blockchain. The platform is currently available for licensing and G-Coin tokens will be available for purchase later this year.
“It is a known fact that there are a lot of uncertainties about the origin of gold entering the market,” Bakar said. “There are reports associating this problem with illegal trade and money laundering activities, which are harmful to society. The Responsible Gold Ecosystem can help solve this problem by tracking and safely storing all data and information about the gold supply chain onto the blockchain. From the Shariah perspective, the technology also helps ensure that upon issuance of G-Coin tokens, each token is backed by allocated responsibly sourced gold from the ecosystem.”
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