Tokenized Gold Shines Amid Market Ambiguity, XAUT Climbs as Investors Seek Stability
Despite recent signs of cooling trade tensions, crypto investors—particularly in Asia—continue to favor tokenized gold as a hedge against lingering macroeconomic uncertainty.
Tether’s gold-backed token XAUT surged 3.4% over the last 24 hours, landing it among the top-performing digital assets, according to blockchain data analytics. The broader tokenized gold sector climbed 4.3%, significantly outpacing the CoinDesk 20 index, which saw a 2% decline.
XAUT’s rally comes alongside a fresh price surge in physical gold, which momentarily dipped in early Asian trading before rebounding to $3,218 per ounce in Hong Kong. The strong performance underscores investor caution, even as geopolitical tensions show signs of easing.
Asian equity markets were mixed: Taiwan’s TAIEX rose 1.6%, while Japan’s Nikkei 225 slumped 3.5%, reflecting the divergent regional response to global fiscal uncertainty and shifting U.S. policy signals.
While trade war fears have temporarily receded, investors remain wary of unpredictable policy decisions from Washington and the mounting fiscal pressure in the U.S. The federal budget deficit has ballooned to an annualized $2.6 trillion—roughly 9% of GDP—fueling demand for assets perceived as safer.
Reports from China suggest a sizable $136 billion economic stimulus package may be incoming, adding further momentum to gold’s appeal both in traditional and digital form.
Meanwhile, Curve DAO’s CRV token rallied 18% on news that U.S. regulators may soften their stance toward decentralized finance, offering a glimmer of hope amid otherwise tepid crypto market activity.
