Zodia Custody and GEMx Launch Institutional-Grade Gem Tokenization Investment Product

According to FinanceFeeds, institutional investors can access the gemstone market through the tokenized product EmGemX, backed by physical emeralds. This product is jointly launched by Swiss fintech company GEMx and Zodia Custody, a compliant custodian supported by Standard Chartered Bank and Japan's SBI Holdings. It offers fractional ownership of a high-quality emerald collection stored in secure vaults and independently appraised. According to GEMx data, the related emerald assets appreciate by approximately 9% annually.

Zodia Custody will provide asset custody services regulated by the UK's Financial Conduct Authority (FCA). GEMx CEO Paul Poltner described this move as "an important milestone in bringing institutional-grade trust to the gemstone investment market." The EmGemX tokens are pegged one-to-one with the underlying gemstones, with ownership and transaction records stored on the blockchain.

This collaboration aligns with the trend of financial institutions exploring the tokenization of real-world assets, aiming to enhance transparency and accessibility in illiquid markets through blockchain technology. Zodia Custody has also recently partnered with the tokenization platform Securitize to provide compliant custody solutions for tokenized assets such as the BlackRock USD Institutional Digital Liquidity Fund (BUIDL).