Diamond Standard Shines During Banking Crisis
Investors flock to hard assets during banking and USDC uncertainty
NEW YORK, March 13, 2023 -- Diamond Standard Inc., developer of the world’s only regulator-approved diamond commodities, today announced that sales of its Diamond Coins and other products increased substantially since Friday, on the back of Silicon Valley Bank and Signature Bank being shut down by regulators, USDC breaking its peg, and amid fears of contagion spreading to other banks and to digital assets.
As evidenced by the uptick in gold and diamonds since Friday, investors are increasing their use of hard assets to cushion against market volatility, continued disruptions, and continued inflation.
Diamond Standard also announced that its Diamond Standard Spot Market, a peer-to-peer marketplace with a centralized limit order book, remained open 24/7, and handled a jump in volumes, in contrast to other top cryptocurrency exchanges shutting down USDC trading over the weekend.
“By combining the best features of gold and Bitcoin, Diamond Standard commodities performed as we expected -- they maintained their value and liquidity during the latest banking crisis,” said Cormac Kinney, Founder, and CEO of Diamond Standard.
Diamond Standard Coins are traded instantly using a regulator-licensed blockchain, stored on a wireless computer chip inside the physical commodity along with the diamonds. Previously, diamonds were not readily available as a fungible real asset with transparent, market-based pricing. But now, investors can own the diamond commodity asset class with a consistent and reliable source of transparency and mark-to-market value. By investing in diamonds, investors can enjoy the same protection from inflation and risk as with other real assets, but with the added potential for higher returns.
Despite their original promise, cryptocurrencies haven't acted as hedges against inflation. Bitcoin dropped to the lowest level in about two weeks, part of a wider retreat in crypto markets as investors digested the unraveling of a key industry payments network. Smaller coins such as Ether, Avalanche and the meme token Dogecoin also suffered declines.
“In these uncertain times, we believe that the diamond commodity can provide portfolio diversification, and alongside other precious metals, can provide protection during market distress and credit events,” Kinney added.
About Diamond Standard Inc.
Diamond Standard Inc. is the creator of the world's only regulator-approved diamond commodities. By unlocking diamonds as a market-traded asset, Diamond Standard helps investors to access a natural resource currently worth $1.2 trillion – more than all the world's silver and platinum combined. A breakthrough hard asset that can be transacted as a blockchain token, the diamond commodity provides diversification, potential inflation protection, and a new store of wealth for institutional and individual investors, while bringing transparency and efficiency to the diamond supply chain. To invest brilliantly, visit www.diamondstandard.co
For media inquiries:
Monika Ploc | Head of Communications | Diamond Standard | monika@diamondstandard.co