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August 2019 A Global Diamond Commodity Exchange Creating a New Financial Market

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Page 1: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

August 2019

A Global Diamond Commodity Exchange

Creating a New Financial Market

Page 2: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

CEDEX Vision

www.cedex.com

Transforming Diamonds to a New Financial Asset

Page 3: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Why Diamonds?

www.cedex.com

Untapped Market $300-$400 bn

Diversified Risk Profile Attractive Low Carry Cost

Page 4: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Fungibility Transparency

www.cedex.com

Liquidity

The diamond industry lacks clear

& transparent pricing, making it

difficult to understand how

diamonds are valued & priced

Unlike gold, platinum or silver,

diamonds are not standardized

and each diamond is unique

Diamonds are mainly sold to end

consumers in a one-sided

transaction, so you can’t resell a

diamond in its fair market value

Breaking the Barriers to become a financial asset class

Page 5: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Diamond Financial Eco-System

CEDEXSingle Diamonds Trading

DEX – Price Feed

Distribution

Trading underline vs. the ETF

& Futures

APsIndex ArbitrageMarket Makers

ETFs

IndexCreator

FuturesIssuer Custodian

ETF Issuer

STO Exchanges

Exchanges

Page 6: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

The CEDEX Solution

www.cedex.com

Page 7: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

The Technology Behind CEDEX

THE DEX BLOCKCHAIN

www.cedex.com

Page 8: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

DEX- Transparency & Fungibility

www.cedex.com

DEX is a sophisticated AI proprietary deep learning algorithm that

creates a single gemological benchmark for fungibility and calculates the

diamond Estimated Market Price (EMP) for transparency overcoming the

barriers to transform diamonds to a financial asset class.

DEX

Page 9: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Step 1: Creating A Gemological Benchmark

www.cedex.com

Historical Data of

~500K Diamonds

Compiling Diamond’s 20

Gemological Characteristics

GIA

Uploading Diamond’s

Gemological Lab Reports

Gem Composite = Benchmark

for Gemological Perfection

1 10

Page 10: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Step 2: Combining Live Pricing

www.cedex.com

DEX $ VALUEEstimated Market Price Vs. Asking Price

& Fungibility for Trading

Gem Composite

Live Parallel Trades

(Wholesalers)

1 10

Page 11: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Blockchain-Tokenization &Diamond Flow to The Exchange

DIAMONDSUpload a single or multiple diamonds to the CEDEX exchange

VERIFICATIONAll diamonds uploaded to CEDEX are sent to a GIA lab for verification and certificate update

CUSTODIANOnce the diamond is verified and approved, it’s sent to a secured custodian for safekeeping (Geneva / Hong Kong)

SELLERThe diamond is uploaded to theexchange, where its evaluated; given aDEX score based on the requestedasking price vs. the Estimated MarketPrice (EMP)

BUYERCan bid on a single or multiple diamond,once there is a match, the Diamond DigitalCertificate is transferred to the buyer andhe becomes the diamond’s legal owner

DIGITAL DIAMOND CERTIFICATE (DDC)

A DDC is created, representing a diamond’s ownership. Including:owner ID, status, gem composite score, gem subcategory, media, designated custodian information, and arrival time at the custodian’s location

Page 12: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Proprietary & Confidential

www.cedex.com

Presenting the best valued deals on top

Generate automatic bids to reflect buyer entry point

Page 13: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Targeted Traders

www.cedex.com

BUYERSINITIAL SELLERS

Crypto Holders

InstitutionalTrading

Wholesalers & Private Diamond Holders

• Hedging Currency• Hedging General / Crypto Portfolios • Preserve Value• No Counterparty Risk

Commodity Traders

• Liquidation • Diamonds to Cash

• Exposer to Industry• Diversification• Better Alternative to Gold

Page 14: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Initiating Liquidity in Diamond Financial Eco-System

CEDEXSingle Diamonds Trading

DEX – Price Feed

Distribution

Trading underline vs. the ETF

& Futures

APsIndex ArbitrageMarket Makers

ETFs

IndexCreator

FuturesIssuer

Custodian

ETF Issuer

STO Exchanges

Exchanges

Page 15: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

About CEDEX

www.cedex.com

Page 16: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

• Seed Investment

www.cedex.com

2017 Q1• Capital raise over $20 million

2018 Q1• Fully operative live beta diamond

commodity exchange• Global custodianship operation• Custodianship in Geneva and HK

2018 Q4• Initiating a new financial

diamond ecosystem • Strategic collaborations

with financial institutions

2019 Q1

• JV with first regulatory approved diamond financial index

2019 Q2• Commitment by first Diamond

Regulatory filing

2019 Q4• DEX version 2.0• ETF Issuer Interface

2020 Q1

CEDEX Road Map & Achievements

• Issuance of the first ETF and Futures on diamonds

2020 Q4Development of additional futures

2021

• Short selling• Leverage trading• Shared investment• Market expansion

2020 Q2• Round B investment

Page 17: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

With over 20 years' experience in the global

financial markets, has held senior roles in leading

financial institutions such as Lehman Brothers,

Barclays Capital and Intesa Sanpaolo (Banca IMI),

and served as the CEO of a Luxembourg

exchange and a financial advisory company

SAAR LEVI CEO & CO FOUNDER

Entrepreneur with 25 years experience in the

diamond industry. Working primarily in Asian

markets, specializing in technology, consulting

and financial software. Served as CEO at F&C as

well as founder & managing director of the

diamond brands LeLumiere and Masaor.com

RONEN PRIEWER FOUNDER

VP Product

Asaf MeiriADV. - Legal & Compliance Director

Ariel LilaevCOO

Shahaf Tzaig

Chief Technology Officer

Avner LevinstienDevelopment Manager

Aviv BalassianoHead of Coin Management

Allen LangnerJapan Director

Shigeo Akiyama

Asia Business Development

Calvin HauDatabase Administrator Aleksandr Rebenok

Senior QA EngineerKateryna Gordieieva

Korean Market Manager

Reina Lee

Marketing & Business Development Manager

Olga Chefranova

The Team

Page 18: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Our PartnersGrowing and Ongoing Joint Ventures & Partnerships

In Collaboration With:

• Listed on London Stock Exchange (TECH)

• Trading solutions to brokers & exchanges

• Based on propriety pricing algorithms

• Global offices: Israel, Cyprus, China, Hong

Kong, Japan & Ukraine

Page 19: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Award Winning Project

Audience award winner

Singapore Feb. 2018

Top 3 Potential StartupsTel-Aviv March 2018

Top 3 Potential StartupsZurich March 2018

www.cedex.com

Pitch Competition WinnerFuture of AI

Page 20: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

Forbes 7 Ways Tokenizing Traditional Assets Will Launch Security Tokens To Main Street In 2019Nov 1, 2018

FINANCIAL

Yahoo FinanceDiamond Commodity Exchange CEDEX is Now Listed On Coinbene

November 28, 2018

Coin RivetNew blockchain exchange launches that digitizes diamondsNov 29, 2018

Core Finance Saar Levi – CEDEX CEOCore Finanace InterviewNov 30, 2018

Fintech Futures

Diamond ETF: a Gem of a Trading Opportunity

Jul 15, 2019

CEDEX in Recent Media

BLOCKCHAIN

Speaking at MJACSaar's Speech at MJACConference

Dec 18, 2018

New Kids On The BlockchainSaar Levi – CEDEX CEOMJAC CryptoCompare Interview Dec 1, 2018

Presenting CEDEXSaar Levi Presents The CEDEX Vision

March 28, 2018

CryptovestExclusive: Q&A with Saar Levi, CEO and Co-Founder of CEDEX

Feb 5, 2019

CoinDeskBlockchain-Based Diamond Exchange Cedex to Start Trading Diamonds Worth $50 Million

March 28, 2019

Page 21: A Global Diamond Commodity Exchange Creating a New ...€¦ · • Leverage trading • Shared investment • Market expansion 2020 Q2 ... The Team. Our Partners Growing and Ongoing

CEDEX End Game

Become a leading marketplace for digitized commodities for the retail

and institutional investors