Tether to Shut Down Alloy Gold-Backed Stablecoin, $850,000 in XAUT Impacted

Tether, the company best known for its USDT stablecoin, will terminate its Alloy gold stablecoin project on September 17. The decision will result in the winding down of all related services, with reports indicating that about $850,000 worth of Tether Gold (XAUT) is still locked in the system.

The shutdown means Alloy users need to monitor any remaining balances and seek official guidance from Tether regarding withdrawals or conversion options before the platform becomes inactive. While Tether Gold (XAUT) itself continues to exist outside of the Alloy platform, the closure may affect the way some holders interact with or access their tokenized gold assets.

No further details have been released by Tether regarding the long-term reasons for discontinuing Alloy or how it will support affected users. The move highlights the operational and market uncertainties associated with experimental tokenized asset projects, and current holders are advised to remain attentive to further announcements from the company.