RWA Platform Jade City Ships First Batch of Jade to China

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Tanzeel Akhtar

Journalist

Tanzeel Akhtar

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Tanzeel Akhtar has been covering the cryptocurrency and blockchain sector since 2015. She has written for the Wall Street Journal, Bloomberg, CoinDesk, Bitcoin Magazine and Bitcoin.com.

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October 9, 2024 08:52 EDT

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Jade City, a real-world asset (RWA) platform, has made its first shipment of jade from its mine partner to a storage facility in Guangdong province, China.

Guangdong is known for its jade manufacturing and houses some of the country’s largest jade trading centres. This shipment is an important step for Jade City as it prepares to generate profits from Jade sales and launch its innovative RWA tokenization platform.

In July, Jade Vault the jadeite storage and trading company raised $2.1 million to kickstart the production of a jade mine in Kazakhstan. The Jade City platform will allow investors to access the $50 billion jade market, traditionally exclusive and dominated by a few players. This will mark the beginning of the RWA tokenization launch slated for later in 2024.

The Significance of Jade in China

The significance of jade, particularly in China, cannot be overstated. For over 5,000 years, jade has been revered not just as a precious stone but as a symbol of purity, moral integrity, and social status.

In Chinese culture, jade is considered more valuable than gold due to its rarity and the intricate craftsmanship required to transform raw jade into exquisite artifacts.

Jade-Backed Bonds Next?

Through its platform, Jade City said it will issue Jade-backed bonds, offering investors high yields in tokenized physical jade. The tokens can be traded in the marketplace or used in a gamified experience where investors can win valuable jade stones from virtual loot boxes.

Jade City said it has also partnered with the owners of a jade mine, securing a substantial inventory. Over the past two years, the company has funded production at the mine and now holds 550,000 kilograms of jade.

Myanmar has long dominated the jade market, primarily exporting its supply to China. However, intensive mining has depleted Myanmar’s jade reserves, and political unrest has caused supply chain disruptions.

“I am glad we can soon start meeting this demand by bringing a new source of jade to the market,” said William Ralston-Saul, CEO of Jade City.

Ralston-Saul told CryptoNews that the quality of jade has a huge effect on the value with prices ranging from a few dollars per kilo to many millions. He cited the most famous example being the Cartier Jade bead necklace belonging to late American socialite, Barbera Hutton, which was auctioned at Sotheby’s for a record price of $27 million.

According to Ralston-Saul, the Jade City platform will reinvest profits rewarding $JCT token holders through a “buy and burn” mechanism.

China’s jade market, valued at $50 billion annually, has grown tenfold since the early 2000s, surpassing the diamond market. Historically, the jade trade has been plagued by black-market activity and poor mining practices.

Jade City said it is hoping to democratize this market by leveraging blockchain technology, providing accessibility, and transparency in one of the world’s most valuable gemstone trades.