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Diamond is one of the two best known forms of carbon, whose hardness and high dispersion of light make it useful for industrial applications and jewelry (the other equally well known allotrope is graphite). Diamonds are specifically renowned as a mineral with superlative physical qualities - they make excellent abrasives because they can only be scratched by other diamonds, which also means they hold a polish extremely well and retain luster. About 130 million carats (26,000 kg) are mined annually, with a total value of nearly USD $9 billion.

The name "diamond" derives from the ancient Greek adamas (ad?µa?; "invincible"). They have been treasured as gems since their use as religious icons in India at least 2,500 years ago—and usage in drill bits and engraving tools also dates to early human history. Popularity of diamonds has risen since the 19th century because of improved cutting and polishing techniques, and they are commonly judged by the "four Cs": carat, clarity, color, and cut. Although nearly four times the mass of natural diamonds are produced as synthetic diamond each year, the vast majority of synthetic diamond production remains small, imperfect diamonds suitable only for industrial-grade use, with gem-quality synthetic diamonds only recently becoming available.

Most natural diamonds originate from central and southern Africa, although significant sources of the mineral have been discovered in Canada, Russia, Brazil, and Australia. They are generally mined from volcanic pipes, which are deep in the Earth where the high pressure and temperature enables the formation of the crystals. The mining and distribution of natural diamonds are subjects of frequent controversy—such as with concerns over the sale of conflict diamonds by African paramilitary groups. There are also allegations that the De Beers Group misuses its dominance in the industry to control supply and manipulate price via monopolistic practices.

Diamond is a transparent crystal of pure carbon consisting of tetrahedrally bonded carbon atoms. Humans have been able to adapt diamonds for many uses because of the material's exceptional physical characteristics. Most notable among these properties are the extreme hardness of diamond, its high dispersion index, and high thermal conductivity. These properties form the basis for most modern applications of diamond.

Diamonds typically crystallize in the face-centered cubic crystal system and consist of tetrahedrally bonded carbon atoms. The unit cell of diamond has a two atom basis at (0,0,0) and (1/4,1/4,1/4), which means half of the atoms are at lattice points and the other half are offset by (1/4,1/4,1/4), where 1 is the length of a side of the unit cell.

The tetrahedral arrangement of atoms in a diamond crystal is the source of many of diamond's properties. Graphite, another allotrope of carbon, has a rhombohedral crystal structure and as a result shows dramatically different physical characteristics — contrary to diamond, graphite is a very soft, dark gray, opaque mineral. Other elements of the carbon group such as silicon have forms analogous to diamond.

Lonsdaleite is a polymorph of diamond (and a distinct mineral species) that crystallizes with hexagonal symmetry; it is rarely found in nature, but is characteristic of synthetic diamonds. A cryptocrystalline variety of diamond is called carbonado. A colorless, grey or black diamond with a tiny radial structure is a spherulite.