Overview
- Tether stopped new aUSDT minting and blocked new Alloy positions on June 17, beginning a phased wind-down that runs until a Sept. 17 cutoff for on-platform collateral recovery.
- Holders have three months to return aUSDT to reclaim their XAU₮ (Tether Gold) collateral or they will lose the ability to recover those tokens through Alloy after Sept. 17.
- aUSDT was an overcollateralized dollar-like token launched in June 2024 that used XAU₮ held in Swiss vaults as backing, but it never reached meaningful scale.
- Tether said the move is a capital-allocation decision to focus on core, higher-liquidity products such as USDT and XAU₮ and to support broader tokenization and infrastructure initiatives.
- The wind-down follows prior pruning of low-demand products and signals a shift toward simple, widely used tokens while Tether expands into tokenization, mining, and AI investments.