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Reading: Regional Conflict Halts Dubai Gold Shipments, Drives Demand for Tokenized Bullion
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COINTURK NEWS > GOLD > Regional Conflict Halts Dubai Gold Shipments, Drives Demand for Tokenized Bullion
GOLD

Regional Conflict Halts Dubai Gold Shipments, Drives Demand for Tokenized Bullion

In Brief

  • Middle East conflict has disrupted physical gold shipments, especially in major hubs like Dubai.

  • Tokenized gold solutions gained traction by enabling uninterrupted, blockchain-based transfers during the crisis.

  • Physical and digital gold each face unique risks revealed by recent global tensions.

Fatih Uçar
Fatih Uçar 4 weeks ago
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Tensions flared across Iran and the Middle East in February and March 2026, plunging global gold markets into uncertainty. Following military operations by the US and Israel, gold prices soared past $5,000 per ounce, while physical gold flows were severely disrupted. As Dubai—one of the world’s largest bullion trading hubs—grappled with logistical bottlenecks, the impact rippled through the international investment community.

Contents
Physical Gold Faces Access CrisisTokenized Gold Gains Ground

Physical Gold Faces Access Crisis

In the first 72 hours after US and Israeli strikes targeted Iranian nuclear facilities, trading activity on gold markets surged. Yet large shipping companies suspended deliveries to the Middle East, major insurers like Lloyd’s became hesitant to underwrite war risks, and brokers in Dubai found themselves unable to ship their gold stocks. This combination rendered the movement of physical bullion nearly impossible.

As a result, the price of physical gold in Dubai fell below the spot price in London—despite overall global price increases. This disconnect highlighted a key vulnerability: gold stored in vaults is not always easily accessible when needed most. Investors were also hit with additional holding fees for gold left in storage during the turmoil.

Since 2025, central banks have accelerated gold purchases and heightened geopolitical tension has reinforced the precious metal’s role as a safe haven. However, the supply chain chaos in February 2026 revealed how quickly physical access can be disrupted at critical moments. While gold’s value did not fall, its transferability faced severe restrictions during the blockade.

Kitco News reported, “Hostilities in the Middle East disrupted bullion deliveries and triggered gold price volatility.”

Tokenized Gold Gains Ground

The logistics of tangible gold can quickly become a major headache in times of crisis. In contrast, blockchain-based digitized gold—where ownership of physical reserves is represented by tokens—proved more resilient to such disruptions. For example, during days when air shipments from Dubai completely ceased and insurance coverage was withdrawn, tokenized bullion transactions continued uninterrupted via blockchain networks.

One prominent company that emerged was New Zealand-based Techemynt, leveraging over 15 years of blockchain and digital assets expertise. Their GoldNZ and SilverNZ products offer institutional-grade tokenized access to precious metals. GoldNZ corresponds to physically allocated gold securely stored at Commonwealth Vault facilities in New Zealand, enabling convenient transfers through blockchain platforms.

Token holders, upon completing identification checks, can trade their tokens in secondary markets at any time or request physical delivery by redeeming them with Techemynt. Yet, it should be noted that physical withdrawals are processed quarterly rather than on-demand.

GoldNZ significantly reduces transaction times—transfers via blockchain settle in minutes, compared to weeks for physical transport or liquidation. Token holders also benefit from flexible portfolio management, capable of transacting in fractional gram amounts—something traditional large gold bars do not easily allow.

However, digital gold solutions like GoldNZ are not without risks, including smart contract vulnerabilities and potential cybersecurity issues. Furthermore, liquidity in secondary markets for these tokens remains in a developmental stage. Such factors could reshape perceptions of gold and its digital alternatives, especially during periods of market stress.

You can follow our news on Telegram, Facebook & Coinmarketcap & X
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.

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Fatih Uçar 25 March, 2026 - 8:51 am 25 March, 2026 - 8:51 am
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