SMX (Security Matters) PLC has announced the successful completion of proof of concept for ethical sourcing and authentication of silver in cooperation with Sunshine Minting Inc. (SMI). SMX has now successfully completed the marking of 2.2 tons of silver within SMI's operations. The program covered the marking of the silver raw material through continuous manufacturing processes to final products including recycling loops.

The SMX technology was added at the melting stage and the marked silver material was processed into blank (from casting, extrusion, rolling, annealing, blank cutting & recycling), and the quality of the marked intermediate material and final products was evaluated (from billet to blank and recycled blank after several cycles). The results demonstrated 100% success rates on all marked products all along the production process (from billet to finished product) ensuring the durability and irrefutable proof of quality and Brand authentication of the silver for credible ESG reporting for stakeholders, customers, auditors, and regulators. Success: To implement the SMX Marking System within SMI's silver process by embedding the technology within the raw material during the melting stage at the authorized facility for Brand authentication.

To ensure the durability of SMX Marking System after each stage of the current manufacturing process and provide traceability of the silver during its production process while maintaining silver properties & purity. To demonstrate the flexibility & durability of the SMX Marking System by adjusting the amount of SMX Marking System implemented according to the mass ratio of virgin (unmarked) silver material and 'marked' leftover (from previous lot) introduced via melting stage of the continuous manufacturing process, and by processing the newly marked silver along the production process until final products, while maintaining the silver properties & overall purity. To detect the SMX Marking Systems within the several batches of marked silver after each process stage from casting, hot extrusion, annealing, and blanks cutting and recycling.

To demonstrate that the SMX Marking System embedded within silver does not affect the material or the mechanical properties of the material and final product and complies with all specifications (grade composition, restriction limits & purity). Outcomes: SMX successfully implemented its Marking System across several batches of the silver at the melting stage and was able to differentiate marked from unmarked silver material, providing Brand authentication of the silver material. SMX Marking System was successfully detected throughout the silver production process from melting, casting, hot & cold rolling, annealing to blank cutting & recycling, demonstrating its durability and traceability functionality.

The SMX Marking System provided a non-destructive way of tracing, identifying, authenticating, and validating the marked silver. This was confirmed during blind testing where 100% of all samples were read successfully. The SMX Marking System was confirmed to deliver the results while ensuring all the mechanical and material properties remained intact covering tensile microstructure, hardness, and grain size.

SMI and SMX are now evaluating potential next steps.