Confined and interstitial water has a key role in several chemical, physical and biological processes. It is remarkable that many aspects of water behavior in this regime (e.g., chemical reactivity) remain obscure and unaddressed. In particular for gold surfaces, results from simulations indicated that the first wetting layer would present hydrophilic behavior in contrast to the overall hydrophobic character of the bulk water on this surface. In the present work we investigate the properties of confined water on Au 〈111〉 nanochannels. Our findings, based on a large set of morphological, structural and spectroscopic experimental data and ab initio computer simulations, strongly support the hypothesis of hydrophilicity of the first wetting layer of the Au 〈111〉 surface. A unique oxidation process was also observed in the nanochannels driven by confined water. Our findings indicated that the oxidation product is Au(OH)3. Therefore, the Au surface reactivity against confined water needs to be considered for nanoscopic applications such as, e.g., catalysis in fine chemicals, pharmaceuticals, and the food industry green processes.