Stablecoin issuer Tether has announced the launch of Alloy by Tether, a revolutionary new digital asset backed by physical gold. This development marks a significant step forward in digital asset stability.
Developed by Tether Group members Moon Gold NA and Moon Gold El Salvador, Alloy by Tether introduces a new category of digital assets – tethered assets. These assets track the price of real-world assets, like the US dollar, through mechanisms like over-collateralization and secondary market liquidity pools.
The first offering in the Alloy by Tether lineup is aUSDT, a digital currency pegged to the US dollar. What sets aUSDT apart is its backing by Tether Gold (XAUT), real gold securely stored in Switzerland.
“We are thrilled to introduce this new class of digital assets,” said Paolo Ardoino, CEO of Tether. “Alloy by Tether offers a unique combination of gold-backing and fiat currency tethering, making it a valuable tool for users and institutions.”
Users can create aUSDT tokens by depositing Tether Gold as collateral, allowing them to participate in digital transactions while retaining the value of their gold holdings. Currently, Alloy by Tether operates on the Ethereum Mainnet.
Alloy by Tether is designed as an open platform, enabling the creation of various tethered assets with diverse backing mechanisms, potentially including interest-bearing products. This technology offers a modern approach to asset management, allowing institutions to integrate secure, gold-backed digital assets into their portfolios.
For more information on Alloy by Tether, please visit alloy.tether.to
