According to TechFlow, Tether announced the launch of Alloy by Tether, a new type of digital asset backed by Tether Gold that aims to redefine stability in the digital economy.
It uses stabilization strategies such as over-collateralization and secondary market liquidity pools to provide consistent value and stability between reference assets and their corresponding anchor assets.
Among them, aUSD₮ is the first token in the Alloy by Tether series, which is over-collateralized by Tether Gold (XAU₮) and aims to track the value of the US dollar.
Users can create aUSD₮ token by posting Tether Gold (XAU₮) as collateral, allowing them to trade and remit in a dollar-like currency on digital exchanges.
It is reported that Alloy by Tether is an open platform that allows the creation of different anchored assets with a wider range of support mechanisms, which may include yield products.
