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A "MUDDY DIAMOND" is a facetious, faux insult disguising a real compliment. The initial patina of disrespect is a way to playfully communicate genuine praise. It's kinda like mock sarcasm. "Muddy Diamond" is an antonym for "Backhanded Compliment" (which seems to be a compliment but is actually an insult). When an overt compliment would feel uncomfortable in the moment for the giver or receiver, a muddy diamond is a jesting way to convey real admiration or appreciation.
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