Case Study: Leveraging Rare Colored Diamonds to Democratize NIL Funding for Universities

3 min read

How AthleteGEM™ and VD Global Are Redefining Athlete Empowerment Through Luxury Collectibles

The $2.5 Billion NIL Opportunity—and the Equity Gap

The NIL market is projected to reach 2.5 billion by 2025 and through AthleteGEM™, the 94.9 billion natural diamond industry offers a transformative solution: rare colored diamonds, which have surged in value as tangible, heirloom-quality assets.

The Power of Rare Colored Diamonds

Rare Colored Diamonds: Luxury and Investment Potential

Rare colored diamonds are not just luxury items—they are appreciating assets with proven investment potential:

Red Diamonds: Exceed $1 million per carat, with the largest (5.11 carats) selling for $8 million.
Blue Diamonds: A 14.2-carat Fancy Vivid Blue diamond sold for $57.5 million ($3.9 million per carat).
Pink Diamonds: The 59.6-carat "Pink Star" holds the record at $71.2 million.

These valuations underscore a critical insight: natural diamonds retain and grow in value over time, making them ideal for fundraising.

For example, Sotheby’s "Sports Week" auctions—featuring items like Michael Jordan’s $10.1 million jersey and Muhammad Ali’s $6 million trunks—highlight the demand for iconic collectibles.

By merging sports legacy with rare natural diamonds, universities can tap into a $227.2 billion memorabilia market while creating enduring value.

AthleteGEM™’s Model: A Scalable Solution for All Athletes

AthleteGEM™, in partnership with VD Global (a De Beers Diamond Sightholder), offers universities and collectives a unique, scalable model to support athletes across all sports and tiers:

Limited-Edition Diamond Collections:

Each athlete designs a 25-piece series of natural diamonds, laser-inscribed with their signature, story, and edition number (e.g., 1/25). These diamonds are authenticated by the Gemological Institute of America (GIA) and ethically sourced through VD Global’s traceable supply chain.
Alumni Engagement:

Alumni foundations can purchase or auction these diamonds to raise funds. For instance, a university could commission a series of Fancy Vivid Yellow diamonds (priced at 8,000−8,000−16,000 per carat) to honor a legendary athlete, with proceeds funding scholarships or facilities.
Inclusivity:

Athletes like Mateo Fernandez Solari—a dual-sport athlete from Rockford University—exemplify the program’s reach. His diamond collection, inspired by his journey from Argentina to collegiate sports, demonstrates how non-revenue athletes can monetize their NIL through storytelling.

Bhavya Vaghasia on the Value of Rare Diamonds

As CEO of Luxury at VD Global and Co-Founder of AthleteGEM™, Bhavya Vaghasia emphasizes the strategic alignment of diamonds and sports legacy:

"Natural diamonds are more than gems—they are symbols of resilience and permanence. When combined with an athlete’s story, they become irreplaceable assets. For universities, this is a chance to create collectibles that appreciate in value while supporting every athlete, not just the stars. A diamond tied to a university legend—like a championship-winning play or a record-breaking performance—becomes a piece of institutional history."

He adds:

"The rarity of colored diamonds mirrors the uniqueness of an athlete’s journey. A 0.329-carat ‘Beating Heart’ diamond discovered by VD Global—a natural wonder with one diamond nested inside another—shows how nature itself creates stories worth preserving. This is the ethos of AthleteGEM™."

Why AthleteGEM™ Isn’t a Typical Licensing Deal

Unlike Generic Merchandise Partnerships, AthleteGEM™ Offers a Unique Advantage

AthleteGEM™ leverages VD Global's infrastructure to deliver:

Scalability: Capable of producing thousands of diamonds annually, supporting entire athletic departments.
Ethical Assurance: VD Global’s membership in the Responsible Jewellery Council (RJC), World Diamond Council, and the ORIGINALLUXURY Initiative, along with its traceability initiatives through the Aura Blockchain Consortium and adherence to the United Nations Global Compact, ensures compliance with NCAA and Title IX standards. As a De Beers Group Diamond Sightholder, VD Global further solidifies its commitment to ethical sourcing and transparency.
Revenue Sharing: Universities retain 20-30% of proceeds from diamond sales, creating a sustainable funding stream without relying on donor fatigue.

Case in Point: A Blueprint for Universities

Imagine a university collective partnering with AthleteGEM™ to honor a Hall of Fame basketball coach:

Step 1: Design a 10-carat Fancy Intense Blue natural diamond series (valued at ~$2M per carat) inscribed with the coach’s championship dates.
Step 2: Auction the natural diamonds through platforms like Sotheby’s, which has sold sports memorabilia for up to $10.1M.
Step 3: Allocate 50% of proceeds to athlete scholarships, 30% to facility upgrades, and 20% to the collective.

This model not only raises funds but also elevates the university’s brand through association with luxury and legacy.

Conclusion: Natural Diamonds as a Catalyst for Equity

AthleteGEM™ and VD Global are pioneering a paradigm shift in NIL monetization. By leveraging rare colored diamonds, universities can:

Democratize Funding: Support athletes in non-revenue sports like volleyball, track, and lacrosse.
Engage Alumni: Offer exclusive, high-value collectibles that resonate with donors.
Build Legacy: Create assets that appreciate alongside institutional history.