Securing Trust For Luxury Goods

No one wants to pay diamond prices and receive cubic zirconia. Jewelry and watches are status symbols, but also family heirlooms to be handed down through the generations. However, there has been a rise in the counterfeiting of precious metals, like gold, where buyers are misled into purchasing fraudulent products. It’s hard for the average customer to verify their purchase unless taken to a proper distributor for confirmation. The issue of authenticity extends far beyond the purchase itself, beginning with the procurement of the ambiguous metal.

Decrees from major institutions express concerns with inhumane harvesting practices and mining in areas filled with conflict. The “dirty” products reaped have repercussions from the mine, all the way back to the consumer. However, a new technology has been created to solve this problem.

SMX (Security Matters) PLC SMX has created a patented, innovative technology to solidify the issue of transparency in a material-driven world. The company offers a circular system consisting of an invisible molecular marker, detector, and blockchain platform that can verify and track types of materials while authenticating and grading them too. The company has filed over 100 patents for its proprietary technology that can be used on materials such as plastics, metals, and soon: plants. The system works by embedding an invisible molecular marker within the material that acts as an identification tag. This tag is scanned and entered into a blockchain system, part of the ecosystem that originally tagged the material. Now, as a digital ID, or a twin of the physical material, key metrics such as type, origin, loop count (which is the number of times a material has been recycled), and composition can be identified. SMX leader Haggai Alon calls this giving materials memory. This is invaluable to all users of the supply chain, as many stakeholders need concrete and transparent data about the materials they purchase.

SMX, in alliance with W.A. Mint Pty Ltd., has recently created a new subsidiary called trueGold. The principle foci of the subsidiary target authenticity and transparency within the gold marketplace. The partnership promises to eliminate doubt and irresponsibility in the value chain by delivering an easily accessible system with clear metrics and data. trueGold’s technology can be utilized from the mine site to the product manufacturer. Luxury brands can access this digital platform and apply it to all forms of gold, such as gold bars, coins, jewelry, and watches to affirm the origin before purchase. Even products that have not been entered into the system can become part of the digital database during a recycling process for reuse.

This futuristic technology can solve the present problem of counterfeiting. Allowing any part of the supply chain to utilize this technology creates trust within the stream of production. At the front end, it will promote consumer confidence, knowing that the material has been accurately verified. Users strive for assurance in investments where companies are delivering on their promise and demonstrating their dedication to the same moral values as well.

trueGold was awarded the Frost & Sullivan Award for Global Enabling Technology Leadership due to the company's ESG framework. The technology provides a low-carbon use for producers, while allowing miners to verify the materials they procure come from a responsible source. trueGold and SMX want the entire industry at the forefront of sustainable practices and believe the same mindset should be extended to other industries.

Most recently, SMX has invested in another subsidiary with the same goal, alternatively focusing on the mission of creating sustainable, accurate, and transparent supply in the silver trade. Native silver, silver in its purest form, make up a small portion of silver material excavated for production. The majority is prospected as a byproduct of other mining industries. With SMX’s newest subsidiary, trueSilver, the value chain of this material will have the same opportunity for verification with real, measurable results. 

These two subsidiaries indicate the intended development of SMX and its objective of authenticity in production, but the company has global aspirations. To accomplish these goals worldwide, SMX has filed a form F-1 with the SEC for an additional capital raise to accelerate growth. Underwritten by the stock brokerage EF Hutton, SMX looks to expand its assets to accommodate its ambitious drive.

Consumer trust has been a cornerstone of brand identity in the luxury sector. Without it, there wouldn’t be such a high demand for these items in every corner of the world. With the revolutionary technology of SMX, brands can be certain that they are protecting their customers and creating a better world–one where trust and security are assumed without question.

This post was authored by an external contributor and does not represent Benzinga's opinions and has not been edited for content. This content contains sponsored advertising content and is for informational purposes only and not intended to be investing advice.