[ARFC] Add PAXG to Aave v3 Main Instance on Ethereum

Governance
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I understand that such a partnership would being growth opportunities to Aave.

However, I heard rumors (from X accounts such as Bitfinexed) stating that USDT, which is also issued by Tether, might not be fully backed by reserves, and that Tether was known for practicing “creative accounting”.

Due to Tether being unregulated, I don’t think we have enough data to prove or disprove such rumors, which I think brings a lot of uncertainity.

Thus, since you’re listing XAUt, it makes me wonder how you would address such rumors.

Finally, the “Do the job we’re paid for first, then point out the results after” doctrine leaves me very skeptical, since it seems to remove voter oversight from the equation.

Hence, I have the following questions

- How to you respond to the allegations against Tether?

- Is Aave still voter-governed, or are voters more like “yes men” supposed to give legitimacy to decisions taken secretly?

- Shall the rumors against Tether be true, who would be held responsible for the chaos ensuing a XAUt depeg?

Disclaimer : while this post acknowledges the presence of rumors against Tether, it doesn’t claim these rumors to be true nor attempts to attack Tether’s reputation.

22

Hi @ThatCryptoGuy,

These rumors have been floating around on every forum or on X for more than 7 years now. Since then USDT and other assets from Tether have been growing enormously with failing once.
Tether is the biggest stablecoin issuer and will likely be it for a very long time. It has been battletested for many years now, even in worst case scenarios like FTX.
I don’t think there is a problem with it, additionally we have two different risk SP that do checkups and would have informed the DAO already. (although all of crypto would be in danger then).

And regarding your comment about delegates voting decision.
Yes there are delegates being paid in a public initiative called Orbit.
No that doesn’t mean they vote like “someone is telling them”.
There is a big set of independent voter, people delegating to delegate platforms like mine, ACI, Stablelab and others. And in the end it’s a decision of everyone. And everyone has their own mind and decision making process.

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Do you have any plans to add PAXG in the future?