In a sector historically shrouded in opacity, KGK Suisse is setting a new industry standard for traceability and transparency — especially in the often-overlooked segment of small diamonds. Through a pioneering partnership with Swiss technology company Provenance Proof, KGK Suisse is reshaping how the industry perceives responsibility and origin tracking, offering a glimpse into the future of ethical luxury.
A strategic partnership
KGK Suisse’s collaboration with Provenance Proof is more than just a technology adoption; it’s a strategic, forward-looking alliance aimed at integrating traceability into the very fabric of the diamond supply chain. Provenance Proof, known for its blockchain infrastructure and DNA-based tracing technology, provides the foundation. KGK brings it to life, applying the system to its portfolio of melee diamonds — small diamonds ranging from 0.45 to 5.3 millimeters, or 0.00005 to 0.55 carats.
“Our collaboration is about adding real value for customers in transparency, responsibility and innovation,” says KGK Suisse CEO Patrik Schäfer. “While Provenance Proof offers the technology and certification label, we bring it into real-world application.”
Making the impossible feasible for small diamonds
Traditionally, diamond traceability was limited to larger stones due to the technical challenges of tracking millions of small ones. For KGK Suisse, the breakthrough came after rigorous audits and a successful implementation of Provenance Proof’s system at the KGK Group’s main production facility in Surat, India.
This capability is made possible by combining blockchain documentation with a physical DNA tracer — a nanoscale tag that verifies each stone’s natural origin and links it securely to its supply-chain history.
“After an intense testing and preparation phase, we are ready to supply the market,” says Schäfer.
Why traceability for tiny stones matters
Critics may question the value of tracing small diamonds, but KGK Suisse sees it as essential — especially for clients in the luxury-watch and fine-jewelry sectors.
“Customers increasingly demand full transparency, even for the smallest stones,” Schäfer explains. “It’s not just about ethics; brand communication, legal compliance, and reputation are all at stake.”
KGK views traceability not as a luxury feature, but as a new industry baseline.
“We believe traceability shouldn’t be a premium — it should be standard,” Schäfer says. “While there are additional costs, we absorb most of them ourselves to maintain competitive pricing.”
Blockchain-powered verification
The Provenance Proof blockchain currently houses data for over a million individual gemstones. In KGK’s case, traceability begins with “lots” — batches of diamonds produced to specific quality standards. Whether a lot includes three or 3,000 stones, each is documented and verifiable.
Daniel Rohrbach, project manager at KGK Suisse, shares an example from the high-end market: “One prestigious Swiss jewelry house uses DNA-tagged stones in its masterpieces. Each purchased stone has a DNA tracer, and even the finished piece itself receives a unique tracer. All supply-chain data is uploaded to the blockchain. With our DNA-marked melee diamonds, it becomes possible to complete the journey of a 100% traceable and origin-certified masterpiece.”
Market response and demand
“The demand for traceable diamonds is growing — particularly among high-end brands committed to responsible sourcing, sustainability, and ethical, legal practices,” he continues.
Most companies in the watch and jewelry industry already go beyond international laws and regulations — which are themselves very strict — when it comes to compliance. Now KGK Suisse is exceeding the origin requirements. This is clearly a product advantage.
“The diamond industry is accustomed to adapting to geopolitical shifts, as seen recently with the sanctions against Russia,” says Rohrbach. “With this step, we are taking proactive action and are already prepared for potential future changes.”
Where and how to buy
“We have an outstanding team of gemologists, supported by the latest high-tech equipment, enabling us to offer our clients 100% product security along with Swiss service quality,” Rohrbach states. “We’re happy to serve our customers personally in four languages — German, French, Italian and English. For those who prefer speed and simplicity, our entire range is now available at the click of a button through our new B2B web shop.”
Buyers can also choose to maintain their own Provenance Proof blockchain account to continue the traceability journey independently.
Setting the industry standard
In an industry under increasing scrutiny, KGK Suisse is charting a path that blends advanced technology with responsible sourcing. By establishing a traceability protocol for even the smallest diamonds, the company is not just meeting emerging compliance standards; it’s shaping them.
As the legal landscape evolves and consumer expectations grow, KGK Suisse’s early investment in traceable melee diamonds positions the company as a leader in ethical innovation.
“Now, after a pioneering work-and-implementation phase, KGK Suisse has decided to open its exclusivity with Provenance Proof for melee diamonds to the wider market [so that] other producers can now qualify for the system,” Schäfer says. “By doing so, we’re paving the way for this technology to become an industry-wide standard.”
Main image: A selection of diamonds. (KGK Suisse)
