diff --git a/CHANGELOG.md b/CHANGELOG.md
index b1b827ae6db..2e0274c5a38 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -83,6 +83,7 @@ Docs: https://docs.openclaw.ai
 - Browser/Browserbase 429 handling: surface stable no-retry rate-limit guidance without buffering discarded HTTP 429 response bodies from remote browser services. (#40491) thanks @mvanhorn.
 - Gateway/auth: allow one trusted device-token retry on shared-token mismatch with recovery hints to prevent reconnect churn during token drift. (#42507) Thanks @joshavant.
 - Channels/allowlists: remove stale matcher caching so same-array allowlist edits and wildcard replacements take effect immediately, with regression coverage for in-place mutation cases.
+- Gateway/auth: fail closed when local `gateway.auth.*` SecretRefs are configured but unavailable, instead of silently falling back to `gateway.remote.*` credentials in local mode. Thanks @tdjackey.
 
 ## 2026.3.8
 
diff --git a/src/cli/daemon-cli/gateway-token-drift.test.ts b/src/cli/daemon-cli/gateway-token-drift.test.ts
index ff221b24e44..0b9d0cfb308 100644
--- a/src/cli/daemon-cli/gateway-token-drift.test.ts
+++ b/src/cli/daemon-cli/gateway-token-drift.test.ts
@@ -43,4 +43,29 @@ describe("resolveGatewayTokenForDriftCheck", () => {
       }),
     ).toThrow(/gateway\.auth\.token/i);
   });
+
+  it("does not fall back to gateway.remote token for unresolved local token refs", () => {
+    expect(() =>
+      resolveGatewayTokenForDriftCheck({
+        cfg: {
+          secrets: {
+            providers: {
+              default: { source: "env" },
+            },
+          },
+          gateway: {
+            mode: "local",
+            auth: {
+              mode: "token",
+              token: { source: "env", provider: "default", id: "MISSING_LOCAL_TOKEN" },
+            },
+            remote: {
+              token: "remote-token",
+            },
+          },
+        } as OpenClawConfig,
+        env: {} as NodeJS.ProcessEnv,
+      }),
+    ).toThrow(/gateway\.auth\.token/i);
+  });
 });
diff --git a/src/cli/daemon-cli/lifecycle.test.ts b/src/cli/daemon-cli/lifecycle.test.ts
index f1e87fc4938..3f0ed6d531c 100644
--- a/src/cli/daemon-cli/lifecycle.test.ts
+++ b/src/cli/daemon-cli/lifecycle.test.ts
@@ -36,16 +36,17 @@ const renderGatewayPortHealthDiagnostics = vi.fn(() => ["diag: unhealthy port"])
 const renderRestartDiagnostics = vi.fn(() => ["diag: unhealthy runtime"]);
 const resolveGatewayPort = vi.fn(() => 18789);
 const findGatewayPidsOnPortSync = vi.fn<(port: number) => number[]>(() => []);
-const probeGateway = vi.fn<
-  (opts: {
-    url: string;
-    auth?: { token?: string; password?: string };
-    timeoutMs: number;
-  }) => Promise<{
-    ok: boolean;
-    configSnapshot: unknown;
-  }>
->();
+const probeGateway =
+  vi.fn<
+    (opts: {
+      url: string;
+      auth?: { token?: string; password?: string };
+      timeoutMs: number;
+    }) => Promise<{
+      ok: boolean;
+      configSnapshot: unknown;
+    }>
+  >();
 const isRestartEnabled = vi.fn<(config?: { commands?: unknown }) => boolean>(() => true);
 const loadConfig = vi.fn(() => ({}));
 
diff --git a/src/gateway/credentials.test.ts b/src/gateway/credentials.test.ts
index 5a6ea041c92..2ec45139d09 100644
--- a/src/gateway/credentials.test.ts
+++ b/src/gateway/credentials.test.ts
@@ -222,6 +222,58 @@ describe("resolveGatewayCredentialsFromConfig", () => {
     ).toThrow("gateway.auth.token");
   });
 
+  it("throws when unresolved local token SecretRef would otherwise fall back to remote token", () => {
+    expect(() =>
+      resolveGatewayCredentialsFromConfig({
+        cfg: {
+          gateway: {
+            mode: "local",
+            auth: {
+              mode: "token",
+              token: { source: "env", provider: "default", id: "MISSING_LOCAL_TOKEN" },
+            },
+            remote: {
+              token: "remote-token",
+            },
+          },
+          secrets: {
+            providers: {
+              default: { source: "env" },
+            },
+          },
+        } as unknown as OpenClawConfig,
+        env: {} as NodeJS.ProcessEnv,
+        includeLegacyEnv: false,
+      }),
+    ).toThrow("gateway.auth.token");
+  });
+
+  it("throws when unresolved local password SecretRef would otherwise fall back to remote password", () => {
+    expect(() =>
+      resolveGatewayCredentialsFromConfig({
+        cfg: {
+          gateway: {
+            mode: "local",
+            auth: {
+              mode: "password",
+              password: { source: "env", provider: "default", id: "MISSING_LOCAL_PASSWORD" },
+            },
+            remote: {
+              password: "remote-password", // pragma: allowlist secret
+            },
+          },
+          secrets: {
+            providers: {
+              default: { source: "env" },
+            },
+          },
+        } as unknown as OpenClawConfig,
+        env: {} as NodeJS.ProcessEnv,
+        includeLegacyEnv: false,
+      }),
+    ).toThrow("gateway.auth.password");
+  });
+
   it("ignores unresolved local password ref when local auth mode is none", () => {
     const resolved = resolveLocalModeWithUnresolvedPassword("none");
     expect(resolved).toEqual({
diff --git a/src/gateway/credentials.ts b/src/gateway/credentials.ts
index 0e9a7c1e07d..d5c3c6037a2 100644
--- a/src/gateway/credentials.ts
+++ b/src/gateway/credentials.ts
@@ -1,6 +1,6 @@
 import type { OpenClawConfig } from "../config/config.js";
 import { containsEnvVarReference } from "../config/env-substitution.js";
-import { resolveSecretInputRef } from "../config/types.secrets.js";
+import { hasConfiguredSecretInput, resolveSecretInputRef } from "../config/types.secrets.js";
 
 export type ExplicitGatewayAuth = {
   token?: string;
@@ -16,6 +16,13 @@ export type GatewayCredentialMode = "local" | "remote";
 export type GatewayCredentialPrecedence = "env-first" | "config-first";
 export type GatewayRemoteCredentialPrecedence = "remote-first" | "env-first";
 export type GatewayRemoteCredentialFallback = "remote-env-local" | "remote-only";
+type GatewaySecretDefaults = NonNullable<OpenClawConfig["secrets"]>["defaults"];
+
+type GatewayConfiguredCredentialInput = {
+  configured: boolean;
+  value?: string;
+  refPath?: string;
+};
 
 const GATEWAY_SECRET_REF_UNAVAILABLE_ERROR_CODE = "GATEWAY_SECRET_REF_UNAVAILABLE"; // pragma: allowlist secret
 
@@ -85,6 +92,22 @@ function throwUnresolvedGatewaySecretInput(path: string): never {
   throw new GatewaySecretRefUnavailableError(path);
 }
 
+function resolveConfiguredGatewayCredentialInput(params: {
+  value: unknown;
+  defaults?: GatewaySecretDefaults;
+  path: string;
+}): GatewayConfiguredCredentialInput {
+  const ref = resolveSecretInputRef({
+    value: params.value,
+    defaults: params.defaults,
+  }).ref;
+  return {
+    configured: hasConfiguredSecretInput(params.value, params.defaults),
+    value: ref ? undefined : trimToUndefined(params.value),
+    refPath: ref ? params.path : undefined,
+  };
+}
+
 export function readGatewayTokenEnv(
   env: NodeJS.ProcessEnv = process.env,
   includeLegacyEnv = true,
@@ -200,28 +223,34 @@ export function resolveGatewayCredentialsFromConfig(params: {
   const envToken = readGatewayTokenEnv(env, includeLegacyEnv);
   const envPassword = readGatewayPasswordEnv(env, includeLegacyEnv);
 
-  const localTokenRef = resolveSecretInputRef({
+  const localTokenInput = resolveConfiguredGatewayCredentialInput({
     value: params.cfg.gateway?.auth?.token,
     defaults,
-  }).ref;
-  const localPasswordRef = resolveSecretInputRef({
+    path: "gateway.auth.token",
+  });
+  const localPasswordInput = resolveConfiguredGatewayCredentialInput({
     value: params.cfg.gateway?.auth?.password,
     defaults,
-  }).ref;
-  const remoteTokenRef = resolveSecretInputRef({
+    path: "gateway.auth.password",
+  });
+  const remoteTokenInput = resolveConfiguredGatewayCredentialInput({
     value: remote?.token,
     defaults,
-  }).ref;
-  const remotePasswordRef = resolveSecretInputRef({
+    path: "gateway.remote.token",
+  });
+  const remotePasswordInput = resolveConfiguredGatewayCredentialInput({
     value: remote?.password,
     defaults,
-  }).ref;
-  const remoteToken = remoteTokenRef ? undefined : trimToUndefined(remote?.token);
-  const remotePassword = remotePasswordRef ? undefined : trimToUndefined(remote?.password);
-  const localToken = localTokenRef ? undefined : trimToUndefined(params.cfg.gateway?.auth?.token);
-  const localPassword = localPasswordRef
-    ? undefined
-    : trimToUndefined(params.cfg.gateway?.auth?.password);
+    path: "gateway.remote.password",
+  });
+  const localTokenRef = localTokenInput.refPath;
+  const localPasswordRef = localPasswordInput.refPath;
+  const remoteTokenRef = remoteTokenInput.refPath;
+  const remotePasswordRef = remotePasswordInput.refPath;
+  const remoteToken = remoteTokenInput.value;
+  const remotePassword = remotePasswordInput.value;
+  const localToken = localTokenInput.value;
+  const localPassword = localPasswordInput.value;
 
   const localTokenPrecedence =
     params.localTokenPrecedence ??
@@ -232,8 +261,8 @@ export function resolveGatewayCredentialsFromConfig(params: {
     // In local mode, prefer gateway.auth.token, but also accept gateway.remote.token
     // as a fallback for cron commands and other local gateway clients.
     // This allows users in remote mode to use a single token for all operations.
-    const fallbackToken = localToken ?? remoteToken;
-    const fallbackPassword = localPassword ?? remotePassword;
+    const fallbackToken = localTokenInput.configured ? localToken : remoteToken;
+    const fallbackPassword = localPasswordInput.configured ? localPassword : remotePassword;
     const localResolved = resolveGatewayCredentialsFromValues({
       configToken: fallbackToken,
       configPassword: fallbackPassword,
diff --git a/src/gateway/probe-auth.test.ts b/src/gateway/probe-auth.test.ts
index e31dd4856ad..7a6d639e10a 100644
--- a/src/gateway/probe-auth.test.ts
+++ b/src/gateway/probe-auth.test.ts
@@ -51,6 +51,34 @@ describe("resolveGatewayProbeAuthSafe", () => {
     expect(result.warning).toContain("unresolved");
   });
 
+  it("does not fall through to remote token when local token SecretRef is unresolved", () => {
+    const result = resolveGatewayProbeAuthSafe({
+      cfg: {
+        gateway: {
+          mode: "local",
+          auth: {
+            mode: "token",
+            token: { source: "env", provider: "default", id: "MISSING_GATEWAY_TOKEN" },
+          },
+          remote: {
+            token: "remote-token",
+          },
+        },
+        secrets: {
+          providers: {
+            default: { source: "env" },
+          },
+        },
+      } as OpenClawConfig,
+      mode: "local",
+      env: {} as NodeJS.ProcessEnv,
+    });
+
+    expect(result.auth).toEqual({});
+    expect(result.warning).toContain("gateway.auth.token");
+    expect(result.warning).toContain("unresolved");
+  });
+
   it("ignores unresolved local token SecretRef in remote mode when remote-only auth is requested", () => {
     const result = resolveGatewayProbeAuthSafe({
       cfg: {