Tether Launches Gold-Backed Stablecoin on Ethereum & Tron Chains
- The coin was created to meet “growing demand for a digital asset that provides exposure to the world’s most enduring asset."
Stablecoin issuer Tether has announced the launch of Tether Gold (XAU₮), a new stablecoin that is pegged to physical gold, in response to “growing demand for a digital asset that provides exposure to the world’s most enduring asset and a geopolitical need for an alternative financial system.”
According to a press release shared with Finance Magnates, the coin is available as an ERC-20 token on the Ethereum Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term and as a TRC20 token on the TRON blockchain; each token represents ownership of one fine troy ounce of gold.
In response to growing demand for digital exposure to physical gold, we are proud to announce the launch of @tethergold (XAU₮)!
Find out more about the ground-breaking launch of a digital token backed by physical gold.https://t.co/uVuBLyt5ol pic.twitter.com/XDC6Y9rjBg — Tether (@Tether_to) January 23, 2020
The new gold-backed stablecoin is also allegedly the only gold-backed stablecoin that “offers zero custody fees and has direct control over the physical gold storage.” Each of the gold bars is stored in a vault in Switzerland.
Geo-political tensions may have caused surges in crypto and gold prices earlier this month
Both Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term such as Bitcoin and physical assets like gold are viewed as alternatives to fiat currencies during times of economic crisis and political tension. Indeed, the prices of both Bitcoin and Gold jumped during the tensions between Iran and the United States earlier this month.
As such, Paolo Ardoino, Tether’s chief technical officer, believes that “there is growing demand for digital exposure to physical gold, making the launch of Tether Gold a timely innovation in the crypto ecosystem.”
He believes that “Tether Gold provides the combined benefits of both physical and digital assets, removing the drawbacks of holding gold in more traditional ways, such as high storage costs and restricted access,” he said in an announcement.
However, Tether’s gold-backed token joins a growing list of gold-backed stablecoins, including PAX Gold, Digix Gold, Tiberius, GoldMint, Ekon Gold, the Perth Mint Gold Token, and many others.
Earlier this month, CoinDesk reported that a class-action lawsuit alleging Tether and Bitfinex manipulated the bitcoin market was withdrawn by two plaintiffs in the Western District of Washington and re-filed with a new plaintiff in the Southern District of New York.
Stablecoin issuer Tether has announced the launch of Tether Gold (XAU₮), a new stablecoin that is pegged to physical gold, in response to “growing demand for a digital asset that provides exposure to the world’s most enduring asset and a geopolitical need for an alternative financial system.”
According to a press release shared with Finance Magnates, the coin is available as an ERC-20 token on the Ethereum Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term and as a TRC20 token on the TRON blockchain; each token represents ownership of one fine troy ounce of gold.
In response to growing demand for digital exposure to physical gold, we are proud to announce the launch of @tethergold (XAU₮)!
Find out more about the ground-breaking launch of a digital token backed by physical gold.https://t.co/uVuBLyt5ol pic.twitter.com/XDC6Y9rjBg — Tether (@Tether_to) January 23, 2020
The new gold-backed stablecoin is also allegedly the only gold-backed stablecoin that “offers zero custody fees and has direct control over the physical gold storage.” Each of the gold bars is stored in a vault in Switzerland.
Geo-political tensions may have caused surges in crypto and gold prices earlier this month
Both Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term such as Bitcoin and physical assets like gold are viewed as alternatives to fiat currencies during times of economic crisis and political tension. Indeed, the prices of both Bitcoin and Gold jumped during the tensions between Iran and the United States earlier this month.
As such, Paolo Ardoino, Tether’s chief technical officer, believes that “there is growing demand for digital exposure to physical gold, making the launch of Tether Gold a timely innovation in the crypto ecosystem.”
He believes that “Tether Gold provides the combined benefits of both physical and digital assets, removing the drawbacks of holding gold in more traditional ways, such as high storage costs and restricted access,” he said in an announcement.
However, Tether’s gold-backed token joins a growing list of gold-backed stablecoins, including PAX Gold, Digix Gold, Tiberius, GoldMint, Ekon Gold, the Perth Mint Gold Token, and many others.
Earlier this month, CoinDesk reported that a class-action lawsuit alleging Tether and Bitfinex manipulated the bitcoin market was withdrawn by two plaintiffs in the Western District of Washington and re-filed with a new plaintiff in the Southern District of New York.