Money has long been associated with gold, but gold wasn’t always melted into ingots or coins for it to be officially money. Many cultures took to wearing their wealth in the form of gold jewelry and this eventually extended into adding precious gems to make them more visually appealing. There is even a Biblical account of Rebekah in the Old Testament who wore her bracelets and earrings of gold. These pieces of jewelry could easily be removed at bartered for goods and services in the ancient world, as long as one had an interested person willing to barter.
The use of ring money is well established in ancient Egypt. People used rings of gold, copper, and bronze that they wore to pay off debts. It wasn’t long before the wearing of one’s wealth was a simple and effective way of having a floating bank account while displaying stature in society. This is part of the reason that gems and precious metals are most associated with higher classes and the priesthood. If one had to travel, it was far easier to take one’s jewelry to help defray expenses on the road than it was to take 100 heads of cattle and so on. So, jewelry and precious gems, from diamond engagement rings to gold bracelets, made a very portable and easily exchanged form of wealth.
Royal Diamond Engagement Rings
Diamonds are a very popular way to move money, from the ancient past to the present day. In the past, only the royalty were allowed to wear certain gems, including diamonds, because it was pretty apparent no one of lesser class could afford such extravagance. It was assumed that if someone was in possession of such fine stones they stole it from someone in a better class of society. Thus, rank and privilege were preserved by limiting the wearing of fine jewels like diamonds.
Even though diamonds were limited to the royalty, promise rings were used for engagements prior to that. It wasn’t until 1477 when it first made its official appearance in a diamond engagement ring in a betrothal between royalty. It wasn’t until the 20th century that the diamond engagement ring became the ring of choice for engagements. Prior to this, the rings one used were made of different materials, sometimes not even precious metals or stones. Iron was allowed as a choice of metal by the Fourth Lateran Council in 1215 as a promise ring. Sometimes semiprecious birthstones were used to signify the union of two people.
Problems with Diamonds Used As Money
Diamonds are still easily traded in world-wide market that values these gems as money. The fact that you can carry a diamond worth many thousands of dollars concealed in your pocket makes it ideal for money laundering or transporting wealth outside the country of origin. In fact, this was an issue after 9/11 wherein many terrorist organizations were said to be laundering money using diamonds as their primary means. This type of diamond trading was also said to have funded conflicts in worn-torn areas.
The diamond industry responded with a way to track the country of origin of a diamond and how it makes its way into the marketplace to ensure that few conflict diamonds are available for purchase. The Kimberley Process Certification requires governments to keep track of diamonds that are being traded back and forth across borders, making it harder for conflict diamonds to make their way to a buyer. Now, you can ask for a “conflict-free” diamond and there is a certification available to make sure your purchase doesn’t fund any conflicts. Even without this process in place, many of the problem areas that were using diamonds in the past to fund conflicts have achieved a measure of peace. Sierra Leone is a classic example of an area that no longer is at war and so no longer has an incentive to use diamonds to fund conflicts.
Can You Use Your Ring As Cash?
The secondary market for diamond engagement rings is not as good as the primary retail market. It doesn’t mean you won’t be able to sell your diamond ring if you ever need to, but you will probably have difficulty finding a buyer. Unlike ancient times, people are not as willing to barter their goods and services for jewels. If you are not a jeweler in the trade and know how to locate a buyer, you may not be able to sell it because you don’t know how to do it properly. If you are selling it back to a jeweler, they won’t offer you the same amount of money you paid for the diamond since they will want to make a profit from their purchase.
There is also a discount you have to take if you have to rid yourself of an engagement ring. The fact that the ring was used already and might be the product of a broken marriage or a death makes the ring lose appeal in some people’s eyes. The ring may not be worth less, but it may be difficult to sell at the price you bought it for unless you are in the trade and know how to sell diamond engagement rings to prospective buyers. There are websites now that will allow you to sell a diamond ring online second-hand, exactly how popular these websites are, it is still too early to tell.
The best way to use a cherished ring as cash is to give it to someone before you die. That way it can become a family heirloom and can carry the same romantic feelings you had when you bought it for your own wedding. If you want to keep the ring until you die, which most people do, you can will it to the next person as part of your estate. If you have a ring and you’ve divorced, the gem is still valuable and can be reset into other fine jewelry like a pendant.
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