The new synthetic dollar, which will be issued on the Alloy by Tether platform, is called Alloy (aUSDT). It is intended for users who plan to make transactions pegged to the US dollar, without the need to sell gold collateral.
Alloy’s liquidity support is provided through excess coverage of Tether Gold (XAUt) tokens, which are pegged to the value of physical gold.
“Tether’s Alloy introduces a new category of digital assets known as synthetic assets, designed to track the price of reference collateral assets through stabilization strategies such as overcollateralization of liquid assets and secondary market liquidity pools,” the company said.
Tether’s Alloy platform was developed by Tether Group member companies Moon Gold NA SA de CV and Moon Gold El Salvador SA de CV, and is intended to be an open platform that will allow the creation of various tokenized assets tied to income products.
The day before, Tether announced the launch of a partnership project with Nodo, a Web3 company, to teach African youth how to use digital assets.
Source: Bits
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