What if investors could use cryptocurrencies to buy real diamonds? Those who follow the cryptoassets market know that the volatility is still one of the issues that most haunts the investors. Despite presenting features of store of value assets, the prices fluctuation of these assets in the short term causes limited and uncertain reliability on the investment.
Some options are already being adopted in this regard. Among them, the stablecoins that have their value paired to dollar. However, this kind of cryptocurrency goes through some questioning, such as the threat of inflation of the fiat money which is pegged to. There are also those who argue about the transparency of those operations.
For that reason, the cryptocurrencies investors urgently look for a store of value that provides stability in the short term. The ideal solution would be something that would protect their wealth against inflationary threats, as well as possible volatility and download effect on the market.
With this in mind, the startup DiamDEXX launched a new idea. The company has developed a stable token pegged to diamonds. The information was released on the site News BTC.
Thus, the DiamDEXX allows investors to purchase, possess and, when necessary actually storing real-world diamonds in a decentralized manner. Due to the segmentation resources of the blockchain protocol, DiamDEXX users may have diamonds according to their payment range possibilities.
It also means that those who have cryptocurrencies can change their diamonds in an open market. In this way, the negotiations will be facilitated by the secure and transparent platform ecosystem.
Why diamonds are a good option for investors of cryptocurrencies?
In open markets, the volatility of the diamonds prices has declined substantially, although it still has the basic features of limited offer. In addition, the use of diamonds goes beyond the beauty of jewelry. They are also used in the construction industry, to drill concrete and stone surfaces.
Through the DiamDEXX platform, users can choose to buy a stable token backed by Diamond, DIAM, with pairs in seven different cryptocurrencies.
Once converted to DIAM, the token will be represented by a physical diamond maintained by one of the five audited vaults. In order to protect the integrity of the DiamDEXX ecosystem, the physical diamonds are reviewed by IDEX (International Diamond Exchange) and fully regulated by the jurisdiction of the particular vault.
The DIAM tokens are securely stored in the native DiamDEXX wallet. This allows users to store their investments on a decentralized basis. Regarding the sale of DIAM tokens in the future, investors can choose to exchange for other cryptocurrencies, or perform operations using physical diamonds.
Therefore, this is an option for investors who want to have a store of value by using a decentralized technology. That is to say, as they index the value of the tokens to the diamonds, they can protect their assets for a long time. Consequently, they will be able to escape from inflationary threats, as well as the extreme volatility and economic collapse.