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This proposal would add multiple USDT variants from Ethereum Layer 2s via Axelar constituents of Alloyed USDT with static limits of 20% each, as well as adding static limits to the existing assets within Alloyed USDT.

Alloyed USDT

[Hidden link] was recognized as the canonical USDT on Osmosis in [Hidden link].

It currently has around [Hidden link], and consists of:

• USDT.axl (Axelar bridge from Ethereum)
• USDT.kava (IBC from Kava EVM)
• USDT.wh (Wormhole bridged from Ethereum)
• USDT.sol.pica (Picasso bridged from Solana)
• USDT.inj (Injective Bridge from Ethereum)
• USDT.rt (Router Bridge)

This proposal requests the addition of multiple USDT variants from Ethereum Layer 2s via Axelar bridge to the USDT Alloy. This brings more direct connections to USDT liquidity on Arbitrum, Polygon and Optimism utilizing the Axelar bridge which has previously been used to connect to Ethereum as an [Hidden link].

Connecting directly to this liquidity represents around:

Arbitrum: 2.3% of Circulating USDT

Optimism: 0.75% of Circulating USDT

Polygon: 0.6% of Circulating USDT

Source: [Hidden link]

This proposal adds these assets with static rate limits of 20% each, as well as adding static rate limits to the assets already included in the USDT Alloy as follows:

• USDT.axl - 75%
• USDT.kava - 75%
• USDT.wh - 20%
• USDT.sol.pica - 20%
• USDT.e.arb.axl - 20%
• USDT.e.matic.axl - 20%
• USDT.e.op.axl - 20%

For a full description of Alloyed Assets, see the [Hidden link]

Forum Post: [Hidden link]