Core Viewpoint - The International Bank for Settlements (BIS) has issued a severe warning regarding stablecoins, highlighting their threats to monetary sovereignty and increased capital flight risks, while the XBIT decentralized exchange platform is emerging with its XAUT gold tokenization project as a potential solution to the stablecoin dilemma [1][3]. Summary by Sections BIS Warnings on Stablecoins - The stablecoin market has surpassed $260 billion, with 99% pegged to the US dollar, but it harbors three major crises: erosion of monetary sovereignty, transparency issues, and systemic risks exemplified by the 2022 TerraUSD collapse [1][3]. BIS's Vision for Tokenization - BIS advocates for accelerated currency tokenization, proposing a unified ledger system centered around Central Bank Digital Currencies (CBDCs) to achieve instant, low-cost, and transparent global payments and securities transactions, although it faces challenges such as rule-making disputes and sovereignty concerns [3][4]. XBIT's XAUT Gold Tokenization Project - XBIT's XAUT project offers a new approach by backing each token with physical gold, ensuring transparency through 24-hour on-chain audits, thus addressing the authenticity of reserves [4][6]. - XBIT's three core advantages include a decentralized security architecture using zero-knowledge proof technology, compliance and transparency with LBMA-certified gold reserves, and cross-chain ecosystem support that lowers investment barriers [4][6]. Market Impact and Future Plans - XAUT has achieved a circulation of over $500 million within three months, with institutional investors accounting for over 40%, positioning it as a solution against inflation and a tool for cross-border payments [6][8]. - XBIT aims to develop a "multi-asset unified ledger" to tokenize traditional assets like government bonds and real estate, potentially challenging the central role of central banks as outlined in the BIS report [6][8]. Controversies and Responses - Despite market acceptance, criticisms persist regarding gold price volatility, regulatory uncertainties, and centralization risks associated with XBIT's control over project audits [8]. - XBIT's CEO emphasizes that the goal is not to replace central banks but to provide a more transparent and efficient alternative, advocating for user-driven construction of the unified ledger [8].