What is Diamond (DMD)?

Quick Facts

  • Founded: 2013, one of crypto's longest-running community projects
  • Consensus: Cooperative HBBFT + delegated Proof-of-Stake (dPOS)
  • Compatibility: EVM-compatible, supports MetaMask, Trust Wallet, WalletConnect
  • Governance: Fully on-chain DAO module
  • Staking: Validator pools require 10,000–50,000 DMD
  • Throughput: Minimum 400 TPS with instant transaction finality
  • Coin model: Finite supply with zero-inflation, perpetual reward design

Introduction

DMD Diamond (ticker: DMD) is a community-driven, layer-1 blockchain that has been continuously developed since 2013. Its flagship upgrade, DMD v4, transforms it into a fully EVM-compatible network featuring smart contracts, on-chain governance, and a unique sustainable coin-economic model.

The project's tagline — combining the best of Bitcoin, Ethereum, and beyond — captures its goal: deliver scarcity and security alongside programmability and true decentralization.

History & Background

DMD Diamond launched in 2013 as an early alternative cryptocurrency. Over the years it evolved through multiple protocol versions, with the community voting in 2018 to begin development of the entirely new DMD v4 architecture.

After years of testing — including open alpha testnets in 2021 and 2023, code audits in 2024, and a beta testnet that ran through 2025 — the DMD v4 mainnet went live in late 2025. Holders of the older v3 coins could migrate to the new chain at a 1:1 ratio.

How Diamond Works

DMD v4 uses the Honey Badger BFT (HBBFT) consensus algorithm, a cooperative protocol that delivers instant transaction finality and eliminates orphan blocks. Validators are elected through a POSDAO mechanism — a delegated Proof-of-Stake system where coin holders vote for validators by staking on their pools.

The network is EVM-compatible, meaning any Ethereum-compatible wallet or tool can interact with it. Smart contracts are deployed using a Turing-complete language, just like on Ethereum.

Tokenomics

DMD's coin-economic design aims to solve a problem common to many blockchains: eventual reward exhaustion. Most chains either run out of block rewards (like Bitcoin eventually will) or print coins indefinitely, causing inflation.

DMD v4 takes a third path called Sustainable Coin Flow. Transaction fees are not paid directly to validators — instead they flow into a Reinsert Pot, which continuously redistributes them as future rewards. This ensures validators and stakers keep earning even after the initial coin allocation is fully distributed, while keeping inflation at zero.

Circulating Supply ? 3.89 million DMD
Total supply ? 4.38 million DMD
Max supply ? 4.38 million DMD
Updated 3mo ago

Ecosystem & Use Cases

The core ecosystem app at ui.bit.diamonds offers tools for staking, validator management, DAO voting, and user profiles. Because DMD v4 is EVM-compatible, developers can deploy decentralized applications using familiar Ethereum tooling.

The DMD coin is used for staking, paying transaction fees, participating in governance votes, and securing the network as a validator.

Team, Governance & Community

DMD Diamond is backed by the DMD Diamond Association, a registered organization based in Austria. The project is heavily community-driven, with all major protocol decisions subject to on-chain DAO governance.

The DAO module allows token holders to propose, discuss, and vote on upgrades and funding decisions in a transparent, decentralized way.

Advantages

  • Instant finality — HBBFT consensus eliminates the risk of transaction reversals
  • EVM compatibility — developers use familiar tools; users connect with MetaMask or similar wallets
  • Zero-inflation rewards — the Reinsert Pot funds perpetual staking rewards without printing new coins
  • True decentralization — capped validator stake limits prevent power concentration
  • Long track record — over a decade of continuous development and community engagement

Risks & Challenges

  • Small ecosystem — the dApp and developer ecosystem is still early-stage compared to larger EVM chains
  • Low liquidity — trading volumes are modest, which can create price volatility
  • Network adoption — attracting developers and users to a new EVM chain is an ongoing challenge
  • Historical context — the project has navigated past fraudulent activity and reputational pressures

Long-Term Vision

DMD Diamond aims to be a self-sustaining, community-owned blockchain that remains viable and rewarding for participants indefinitely. Its coin-economic model is designed to outlast blockchains that face reward exhaustion, and its on-chain governance is intended to ensure the network evolves without centralised control. The team's focus remains on decentralization, security, and building a resilient ecosystem that the community truly owns.

Frequently Asked Questions

DMD Diamond is a long-running, EVM-compatible layer-1 blockchain that has been developed since 2013. Its DMD v4 upgrade introduced smart contracts, on-chain DAO governance, and a unique zero-inflation reward model.

Users can become validator candidates by staking a minimum of 10,000 DMD, while other holders can delegate up to 50,000 DMD to a validator pool. Rewards are shared proportionally among validators and their delegators each epoch.

DMD v4 uses a Reinsert Pot that collects transaction fees and redistributes them as future staking rewards. This creates a perpetual reward cycle with zero inflation once the initial coin cap is reached.

Yes, DMD v4 is fully EVM-compatible. Wallets like MetaMask, Brave, and Trust Wallet can connect to the DMD network by adding it as a custom chain.

Honey Badger BFT (HBBFT) is a cooperative Byzantine fault-tolerant consensus protocol used by DMD v4. It provides instant transaction finality and eliminates orphan blocks, making the network highly secure and efficient.

The DMD DAO is an on-chain governance system that lets token holders propose and vote on protocol upgrades, funding decisions, and other network changes. It ensures the community retains control over the network's future direction.

Yes, holders of DMD v3 coins who held them at the snapshot block can claim an equal number of v4 coins through the official claiming portal at claiming.bit.diamonds.

DMD is used to pay transaction fees, stake in validator pools, and participate in DAO governance on the DMD network. The main ecosystem app is available at ui.bit.diamonds.