Tether’s Gold-Backed Shenanigans Take a Delightfully Absurd Turn

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Tether, in a move reminiscent of a butler quietly removing an underperforming canapé tray from a dull garden party, has abruptly halted new positions and suspended minting of aUSD₮. The wind-down begins immediately, leaving users blinking in mild confusion.
Existing users have been granted a three‑month farewell tour to close positions and redeem assets-preferably before September 17, 2026, when the doors will be locked, the lights switched off, and the last XAU₮ will be whisked away like the final biscuit at tea.
This grand decision follows a review of user activity, which apparently revealed that Alloy’s 2024 debut generated about as much excitement as a damp crumpet.

Tether, the esteemed purveyor of USDT, has decided to shutter Alloy by Tether and its gold-backed offspring aUSD₮. The company is now redirecting its energies toward products with more pizzazz, liquidity, and general oomph-qualities Alloy, bless its heart, never quite managed to muster.

The wind-down is already in effect, with Tether slamming the brakes on new positions and minting. After reviewing user activity and its own business priorities, the company concluded that Alloy was not, in fact, the belle of the crypto ball.

Users have three months to tidy up their affairs and redeem assets. After September 17, 2026, any lingering hopes of recovering XAU₮ through Alloy will be about as useful as a chocolate teapot.

In announcing the changes, Tether declared, “Tether Updates Users on Strategic Changes to its Product Support Offering,” which is corporate-speak for “We’ve had a rethink, old chap.” The decision followed a sober assessment of product usage and long-term strategy.

Tether keeps focus on XAU₮

Alloy, launched in 2024 through Moon Gold NA and Moon Gold El Salvador, was an experiment in gold-backed digital assets. It introduced aUSD₮, a dollar-pegged token backed by excess reserves of XAU₮-Tether’s shiny, gold-backed darling.

Alas, aUSD₮ never quite caught on. Compared to the roaring success of its glittering collateral, it performed like a timid understudy afraid to step onstage. Tether explained that it will now focus on areas with stronger demand, deeper liquidity, and broader long-term opportunity-namely XAU₮ and other core products that actually draw a crowd.

Meanwhile, XAU₮ has blossomed into one of Tether’s star attractions, boasting a valuation of around $3 billion and backed by over 22,000 kilograms of gold. Recently listed on Thailand’s Maxbit exchange and supported by BNB Chain, it has been strutting about like a peacock in full plume.

Each XAU₮ coin corresponds to one troy ounce of gold stored in Switzerland, allowing users to enjoy the thrill of gold ownership without needing a monocle, a vault, or a suspiciously large coat pocket.

Broader strategy targets larger markets

Tether’s decision to shutter Alloy is part of a broader strategy to streamline its product lineup. CNHT and EURT have already been shown the door after failing to attract much enthusiasm, leaving USDT and XAU₮ as the company’s main attractions.

At the same time, Tether is leaning into tokenization and digital asset infrastructure. It has launched the Hadron platform and is even exploring a stablecoin tied to Georgia’s lari-because why not add a bit of international flair to the mix.

The company is also expanding XAU₮’s use beyond trading. Earlier this month, Tether partnered with Fasset to launch a Visa card that lets users spend the value of their gold-backed tokens in local currencies and earn cashback in XAU₮-a concept that would make even the stodgiest banker raise an eyebrow.

In the Middle East, Tether is strengthening its presence through new partnerships. On June 16, it signed a memorandum of understanding with the Dubai Multi Commodities Centre to support blockchain education and tokenization projects across Dubai’s bustling trade sector. One imagines a great deal of handshaking and polite nodding occurred.

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2026-06-18 11:01