{"id":838207,"date":"2025-04-01T08:12:19","date_gmt":"2025-04-01T13:12:19","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/04\/01\/stablecoins-tokenized-assets-gain-as-trump-tariffs-loom\/"},"modified":"2025-04-01T08:12:19","modified_gmt":"2025-04-01T13:12:19","slug":"stablecoins-tokenized-assets-gain-as-trump-tariffs-loom","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/04\/01\/stablecoins-tokenized-assets-gain-as-trump-tariffs-loom\/","title":{"rendered":"Stablecoins, tokenized assets gain as Trump tariffs loom"},"content":{"rendered":"
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Cryptocurrency investors are increasingly moving capital into stablecoins and tokenized real-world assets (RWAs) in a bid to avoid volatility ahead of US President Donald Trump\u2019s widely anticipated tariff announcement on April 2.<\/p>\n

Increasingly, more capital is flowing into stablecoins and the real-world asset (RWA) tokenization<\/a> sector, which refers to financial products and tangible assets such as real estate and fine art minted on the blockchain.<\/p>\n

\u201cStablecoins and RWAs continue to see steady inflows of capital as safe havens in the current uncertain market,\u201d crypto intelligence platform IntoTheBlock wrote in a March 31 X post<\/a>.<\/p>\n

\u201cHowever, because these assets reside on-chain, even slight shifts in sentiment can trigger significant price movements, driven by the lower barriers to reallocating capital in real time,\u201d the firm noted.<\/p>\n

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Stablecoins, total market cap. Source: <\/em>IntoTheBlock<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

The flight to safety is mainly attributed to geopolitical tensions and global trade concerns, according to Juan Pellicer, senior research analyst at IntoTheBlock:<\/p>\n

\u201cMany investors were expecting economic tailwinds following Trump’s inauguration as president, but increased geopolitical tensions, tariffs and general political uncertainty are making investors more cautious.\u201d<\/p><\/blockquote>\n

\u201cThis is not unreasonable, as even though global growth forecasts remain positive, growth expectations have decreased globally in recent months,\u201d he added.<\/p>\n

Related: <\/strong><\/em>Bitcoin \u2018more likely\u2019 to hit $110K before $76.5K \u2014 Arthur Hayes<\/strong><\/em><\/a><\/p>\n

The prospect of a global trade war has heightened inflation-related concerns, causing a significant decline in both cryptocurrency and traditional equity markets.<\/p>\n

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S&P 500, BTC\/USD, 1-day chart. Source: <\/em>TradingView<\/em><\/a>\u00a0<\/em><\/p>\n<\/figcaption><\/figure>\n

Bitcoin (BTC<\/a>) has fallen 19% and the S&P 500 (SPX) index has fallen over 7% in the two months since Trump announced import tariffs on Chinese goods on Jan. 20, the day of his inauguration as president<\/a>.<\/p>\n

The April 2 announcement is expected to detail reciprocal trade tariffs targeting top US trading partners. The measures aim to reduce the country\u2019s estimated $1.2 trillion goods trade deficit and boost domestic manufacturing.<\/p>\n

Related: <\/strong><\/em>Stablecoin rules needed in US before crypto tax reform, experts say<\/strong><\/em><\/a><\/p>\n

Investor sentiment pressured by April 2 Trump tariff announcement<\/h2>\n

Global tariff fears<\/a> and uncertainty around the upcoming announcement continue to pressure investor sentiment<\/a> in global markets.<\/p>\n

\u201cRisk appetite remains muted amid tariff threats from President Trump and ongoing macro uncertainty,\u201d Iliya Kalchev, dispatch analyst at digital asset investment platform Nexo, told Cointelegraph.<\/p>\n

Meanwhile, RWAs reached a new<\/a> cumulative all-time high of over $17 billion on Feb. 3, and are currently less than 0.5% away from surpassing the $20 billion milestone, according to data <\/a>from RWA.xyz.<\/p>\n

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RWA global market dashboard. Source: <\/em>RWA.xyz<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

Some industry watchers said that Bitcoin\u2019s lack of upside momentum may drive RWAs to a $50 billion all-time high<\/a> before the end of 2025, as their increased liquidity will help RWAs attract a significant share of the $450 trillion<\/a> global asset market.<\/p>\n