Aren't gaps in punches practically inaudible because they're so tight on the timeline?
If you just cut audio together you can get steep slopes in the waveform and other sudden changes that are generally pretty unnatural sounding in most cases. A crossfade simply makes the transition more gradual between sections of audio to make those changes less noticeable.
A properly done edit with a cross-fade should be absolutely not noticeable at all - even by the original musicians and the person who made the edit.
I guess I don't understand why this is necessary in the digital domain. Aren't gaps in punches practically inaudible because they're so tight on the timeline? Is a crossfade something that should usually, or even always be done on a punched section?