Multi-blockchain; Liquidity
Carats can be issued onto any public or private blockchain bridged by the Bitcarbon Foundation to the Hashgraph-based Carats Smart Contract. Carats on any network have the same underlying value—the current Carats Ratio times the market value of a Diamond Standard Coin, which similar to gold, trades on a spot exchange. However the price of Carats on each network may fluctuate, depending on local supply and demand, and the friction of network fees. Prices between networks should not differ very much thanks to arbitrage—or users could buy any significantly underpriced Carats, redeem a commodity, and sell it on the spot market.
Owners of Diamond Standard Carats or commodities benefit from a unique, seamless integration of liquidity among Carats trading and the trading of spot commodities, derivatives, and securities like ETFs. The same underlying tokens can seamlessly migrate between asset types, between users and countries, and between blockchains. The utility, spending power and value is not constrained, and as networks evolve, the underlying assets can easily transfer to a new network. The transaction speed, cost and capacity is leveled up by the current technology.
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