Popular digital asset stablecoin issuer, Tether has announced the official launch of Alloy by Tether. In a Monday blog post, the firm shared insights into the functionalities and features of the newly-launched asset. Developed by members of the Tether group, Moon Gold NA, S.A. de C.V., and Moon Gold EL Salvador, “Alloy by Tether” will be backed by Tether Gold.
In essence, the stablecoin firm said the asset will bring more stability into the digital economy. It will integrate the strengths of a stable unit of account with the security and reliability of gold. That being said, the new asset also introduces a novel category of digital assets known as tethered assets. Worth noting that these investments are designed to track the price of reference assets through stabilization strategies like over-collateralization with liquid assets and secondary market liquidity pools.
Furthermore, using Tether Gold (XAUT) as collateral, users can create aUSDT token. This process appeals to users who want to engage in digital transactions, payments and remittances with currency similar to US dollar. That said, Alloy by Tether smart contracts are now deployed on Ethereum Mainnet.
Tether Stands Out As A Major Player In The Bustling Stablecoin Economy
Over the years, Tether has positioned itself as a major player in the global stablecoin economy. A few weeks ago, it invested up to $18.75M in blockchain-enabled financial institution, XREX Group to drive innovation in the digital asset industry.
Also, in April, the venture arm of the stablecoin firm, Tether Evo invested $200 million in a biotech enterprise, Blackrock Neurotech. The strategic investment empowers millions of people affected with paralysis and neurological disorders around the globe. It also became a major stakeholder in the company with ultimate focus on medium and long term human potential.
Similarly, in March, the stablecoin firm also partnered with Republic of Uzbekistan National Agency of Perspective Projects (NAPP). Both parties signed a Memorandum of Understanding (MoU) to ignite a revolution of digital innovation in the Republic of Uzbekistan. More so, the partnership also promoted the adoption and development of cryptocurrency, blockchain, and stablecoins in the region.
Read More: