USD Tez » FAQ/Fact Sheet
Frequently asked questions about USD Tez and Official Facts
Last updated: November 30th, 2021.
What is USD Tez?
USD Tez (Symbol USDtz ) is a Tezos on-chain stablecoin pegged to the value of the United States Dollar and built to Tezos FA/TZIP digital asset token standard. Being on-chain and written in pure-Michelson, USDtz is fast, gas-efficient, and programmable, Its computational outputs are subject to Tezos’ natural advantages of formal verification — ideal for continuous auditing, and super-precise on-chain trades.
How do I get USD Tez?
Visit this page on the USDtz website for information on how to get USDtz.
What are the underlying values of the USD Tez project?
- On-chain liquidity is one of the most critical resources needed to enable a decentralized finance future.
- Tezos is the ideal platform for decentralized finance (DeFi), beyond any other blockchain protocol (past, present, or even those in planning) and will logically triumph as central to the future of DeFi.
To what value is USD Tez pegged?
As you may have guessed, USDtz token is priced to match the United States Dollar (USD). 1 USDtz token must meet the same value of 1 USD.
How does USD Tez maintain 1–1 stability?
Full-reserves and full-convertibility; USD Tez can always be redeemed for the FIAT of equivalent value. USDtz reserves are audited monthly by Armanino LLP and its collateral reserve can be viewed in real-time. View more at the reserve page of the USDtz website.
Are there stability fees or equivalent in USD Tez?
No. USD Tez is fully solvent; it can always be redeemed for its equivalent USD value. Therefore, unlike what are called ‘algorthmic stablecoins’ — which rely on a synthetic system of intentional volatility within an internal marketplace to maintain its peg—the market can rest assured that USD Tez will always be redeemable for equal USD.
There are no stability fees to owning FIAT, and there shouldn’t be any stability fees to own a stablecoin. There are no stability fees for USD Tez.
How is USD Tez governed?
USDtz was created by StableTech (Tezos Stable Technologies) which is wholly owned by a non-shareholder foundation titled the Tezos Stablecoin Foundation (aka StableTez Foundation). The Tezos Stablecoin Foundation will oversee all off-chain administrative activities of the stablecoin as well as steward the creation of what will ultimately a DAO (Decentralized Autonomous Organization ) in which governance decisions regarding USD Tez will be made on-chain by the consensus of USD Tez community members, just as Tezos itself embraces through on-chain governance.
Over time an increasing number of USD Tez governance jurisdictions will be devolved permanently from the Tezos Stablecoin Foundation to the Tezos Stablecoin DAO (aka the StableTez DAO), enabling more consensus-driven innovations as well as the immortality of the stablecoin.
Other entities, are service providers to StableTech and do not have any jurisdiction outside of those services agreements. StableTech is backed by Draper Goren Holm LLC and other investors.
Does USD Tez keep a full reserve?
Yes. USD Tez will begin with a full-collateral reserve that can always be redeemed in full for USDtz tokens 1-1. The reserve maintains a composite of multiple audited and regulated FIAT cash-convertible assets, including USD Coin (USDC), Paxos Dollar (PAX), and Gemini Dollar (GUSD). The reserve is audited monthly by Armaninoi LLP and its reports are published on USDtz.com/reserve.html
How does USD Tez maintain secure custody of its assets?
USD Tez maintains custody through a multi-signature process so that no one individual can access the collateral funds. The reserve custody is currently governed through Gnosis-safe — a widely used and relied upon industry standard. Attestation of this process is conducted through by Armanino LLP and its pertaining reports are published monthly on USDtz.com/reserve.html.
Will other stablecoins be issued?
Yes. The vision USD Tez is part of the StableTez project, which will be issuing a suite of stablecoins, over the months and years to come. This includes ETH Tez (ETHtz) which launched in January 2021, and BTC Tez (BTCtz) which launched July 2021.
The US-dollar and Bitcoin are the two most critical liquidity instruments in XTZ-trading. ETHtz and LTCtz are in the works as well. Though, not all of the stable-coins to be issued by StableTez are necessarily for liquidity purposes.
Precious metal-pegged tokens, such as Tezos.Gold (Gold, Silver, Platinum, and Palladium), will be issued too, along with agricultural commodities such as Tezos.Coffee and Tezos.Soy.
How can I continue to follow the project?
Go to USDtz.com to sign up for the USD Tez mailing list. You can also follow us on various social media channels, including:
