- September 16, 2018
- Posted by: Mor Hazen
- Category: carats blog posts
Commodity-backed stable coins are one of the most exciting developments in the crypto world. However, those tokens backed by the world’s most exclusive stone are a level above the rest.
The latest generation of cryptocurrencies are stable coins – tokens whose values are secured from volatility, bestowing upon them the strength and reliance required for universal adoption of crypto. Among these, coins backed by diamonds shine far above the rest, providing both stability, as well as steady positive growth, that make them an attractive investment.
Here are 5 ways that diamond-backed coins make for a better stable coin:
1. Diamonds are an easy-to-redeem commodity. Should you decide to convert your crypto into its real-world value, you’re better off doing it with the most concentrated store of wealth (as diamonds have been proven to be). Just imagine trying to redeem $1 million in gold – you’d need a truck to haul it off. However, $1 million in diamonds can fit in your pocket.
2. Diamonds are still a relatively untapped asset – there is still no financial market for the commodity. With the first financial market for diamond still in the construction phase by Carats.io, an investment now in a diamond-backed currency holds the incredible potential of a soon-to-be unlocked market.
3. Among commodities, diamonds are one of the most stable in value. While gold, silver and other commodities are exposed to financial markets and speculators’ whims, diamonds have remained steady for over three decades (while enjoying a positive appreciation).
4. Diamond-backed crypto lets you profit from interest. Other digital currencies, like Tether, let you store your investment without gaining any interest or appreciation (similar to placing your money in an Index-Linked Certificate of Deposit). With diamond-backed currencies you can enjoy the positive appreciation of these shiny gems.
5. Diamonds are a heterogeneous, varied commodity. They come in many different sizes, colors and forms, and can be redeemed and liquidated into any of these.
To find out more about what makes diamond-backed currencies so exciting, join the Carats.io Telegram group.