Since diamonds are relatively worthless and fairly abundant how come when I am browsing /r/ArtefactPorn it is very common for there to be sword hilts and other things covered in them?
While today diamonds are common, for most of history they were very rare. Up until 1725 the only known source were the mines in far away India. In 1725 a small source was found in Brazil, but that source didn't do much for the rarity of diamonds (Brazil is a wonderful source for sapphires, though). It wasn't until De Beers and the massive diamond mines of South Africa were established that they became available.