Tether Gold

Gold

<h2 id="key-points">Key Points</h2> 
<ul> 
 <li>Willy Woo believes Tether’s gold-backed stablecoin Alloy (aUSDT) is a “genius business idea.”</li> 
 <li>Tether’s new synthetic dollar is the first step in the rollout of a real-world asset tokenization platform.</li> 
</ul> 
<p>Tether has just introduced a gold-backed stablecoin pegged to the US dollar. This is the first tethered asset and the new coin is called Alloy (aUSDT).</p> 
<p>The stablecoin is mintable on the new Alloy platform by Tether. Alloy will be overcollateralized by Tether Gold (XAUt) which is a token that provides ownership of physical gold, but pegged to the US dollar.</p> 
<p>This new token is a synthetic dollar, designed to mimic the value and functionality of the US dollar without being directly backed by it.</p> 
<h2 id="willy-woo-calls-the-initiative-a-genius-business-idea">Willy Woo calls the initiative “a genius business idea”</h2> 
<p>Today, in a new <a href="https://x.com/woonomic/status/1802966015359217714" rel="nofollow" target="_blank">post</a> on X, Bitcoin on-chain analyst Willy Woo called the latest initiative by Tether, a genius business idea.</p> 
<p>He said that instead of issuing USDT and earning the T-Bills yield, the company can now issue aUSDT earning the gain on gold. Woo believes that over the long term, gold gets 8%, compared to T-Bills at 0-5%.</p> 
<p>He continued and said that given <a href="https://crypto.ro/en/news/tether-invests-big-acquires-100m-stake-in-bitcoin-mining-giant-bitdeer/">Tether</a> is building a sizeable BTC treasury, he would not be surprised in a future where they would also issue bUSDT backed by Bitcoin.</p> 
<p>Woo <a href="https://x.com/woonomic/status/1802966899577237874" rel="nofollow" target="_blank">highlighted</a> that even if this does not make too much sense right now, with the massive market volatility, in a future cycle where Bitcoin is bigger and less volatile, such a thing could happen.</p> 
<p>He also <a href="https://x.com/woonomic/status/1802968309974859827" rel="nofollow" target="_blank">wondered</a> whether this new stablecoin pulls a Do Kwon and goes the way of Terra/Luna due to having a stablecoin backed by a volatile asset.</p> 
<h2 id="alloy-explains-tethered-assets">Alloy explains tethered assets</h2> 
<p>In a post on X, Alloy <a href="https://x.com/Alloy_tether/status/1802676445619098065" rel="nofollow" target="_blank">explained</a> that tethered assets are digital assets that aim to track the reference price of another asset via various stabilization mechanisms.</p> 
<p>They also said that Alloy offers long-term holders the opportunity to maintain exposure to gold while obtaining a dollar-referenced Tethered Asset for payments and daily economy.</p> 
<p>aUSDT was developed by Tether subsidiaries Moon Gold and Moon Gold El Salvador.</p>

Tether’s Gold-Backed Stablecoin, Alloy (aUSDT), Is “A Genius Idea”, Willy Woo Says

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