Bitcoin (BTC) has long been promoted by its most ardent supporters as a hedge against failing monetary value, but as the US dollar falls to multi-year lows, the market’s clearest flight to safety is occurring elsewhere: in gold.
Over the past year, investors have rediscovered this precious metal through both classic channels and blockchain rails. Tokenized gold products like XAUt are gaining ground alongside spot prices, offering digital exposure to a centuries-old sheltered haven amid mounting inflation concerns and currency tensions.
Bitcoin is still very present, although increasingly as a secondary beneficiary. Actively managed ETFs pair BTC with gold as complementary protection against fiat erosion, positioning Bitcoin less as a proven hedge and more as a companion to higher-volatility difficult assets.
This week, Crypto Biz is tracking this shift, from tokenized bullion funds and hybrid ETFs to Wall Street’s growing interest in stablecoins and crypto banking cards. In periods of currency stress, gold continues to lead. Crypto learns how to follow.
Tokenized gold surges as dollar hits four-year low
It’s not just classic investors who are hoarding gold. Investors in digital assets are increasingly turning to tokenized versions of the precious metal as the U.S. dollar weakens and concerns about currency depreciation and inflation intensify.
Tether said its gold-backed stablecoin, Tether Gold (XAUt), now accounts for more than half of the tokenized gold market, with a total market value of more than $2.2 billion. According to the company, at the end of the fourth quarter, there were 520,089 XAUt tokens in circulation, each backed one-to-one by physical gold bars.
The surge in demand comes as gold prices rise above $5,300 per troy ounce, up around 90% over the past year, while the US dollar continues to depreciate. The Bloomberg U.S. Dollar Spot Index recently fell to a four-year low.
Bitwise combines Bitcoin and gold in an actively managed ETF
Asset manager Bitwise has launched a novel ETF designed to protect investors from a currency decline by combining Bitcoin with gold and other precious metals.
The Bitwise Proficio Currency Debasement ETF debuted on the New York Stock Exchange under the symbol BPRO. The actively managed fund is designed to hedge against declines in the purchasing power of the U.S. dollar and other fiat currencies.
The portfolio includes exposure to Bitcoin, precious metals and mining stocks and is intended for wealth managers seeking exposure to Bitcoin without directly allocating to a cryptocurrency-specific product.
Fidelity introduces the stablecoin in US dollars
Fidelity is preparing to launch its own dollar-pegged stablecoin, moving deeper into the regulated digital finance space.
The upcoming stablecoin, called Fidelity Digital Dollar (FIDD), is expected to comply with federal GENIUS Act standards for payment-oriented digital dollars, including reserve security and oversight requirements. Fidelity executives have hailed stablecoins as the backbone of real-time settlement and 24/7 payments infrastructure, signaling a shift toward mainstream applications beyond trading.
The initiative comes as classic financiers explore blockchain rails and regulators develop clearer rules for US stablecoins, marking the next step in the institutional adoption of crypto-native settlement systems.
The Nomura-backed digital asset company is eyeing a US banking charter
Laser Digital, a Nomura-backed digital asset company, has reportedly filed an application for a U.S. national bank trust charter with the Office of the Comptroller of the Currency, marking a major step toward bringing crypto services into the U.S. regulated banking framework.
If the statute is approved, the authorization would allow Laser Digital to operate nationwide under a single federal license, bypass state-by-state records requirements, and offer spot trading in digital assets without accepting deposits from customers.
The move comes amid a broader augment in cryptocurrency chartering applications in a more liberal U.S. regulatory climate, with several digital asset companies considering federal custodial bank status to deepen integration with classic finance.
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