Dubai’s commitment to technological innovation in its real estate sector has seen a groundbreaking development with a strategic alliance between the Dubai Land Department (DLD) and the Dubai Virtual Assets Regulatory Authority (VARA).
According to an April 7 announcement, the two entities have formalised a partnership aimed at exploring and implementing the tokenisation of real estate assets, a move that promises to reshape property registration, management, and investment within the emirate.
Read also: Dubai to tokenise real estate, projecting $16 billion market by 2033
The pilot project paves the way
The agreement follows the launch of a pilot program under DLD’s Real Estate Innovation Initiative (REES), which tokenises property title deeds—a first in the Middle East. Helal Saeed Al Marri, Director-General of the Dubai Department of Economy and Tourism, emphasised the initiative’s forward-looking vision, stating, “This partnership aligns with the objectives of the Dubai Real Estate Strategy 2033 and the Dubai Economic Agenda D33, reinforcing Dubai’s global leadership in one of the most vital sectors.”
The project, developed alongside VARA and the Dubai Future Foundation (DFF), enables fractional ownership, allowing smaller investors to participate in Dubai’s lucrative real estate market. Marwan bin Ghalita, a key figure in the initiative, noted its potential to “drive real estate innovation, attract technology companies, and enhance the sector’s digital infrastructure.”
Looking at its functions, tokenisation helps convert physical real estate into digital tokens, which will enable secure, transparent, and efficient transactions on the blockchain. Its benefits include fractional ownership, increased liquidity, and reduced fraud risks—key advantages for a market targeting $272 billion in transaction volume by 2033.
Read also: How Web3 transcends crypto to solve real-world problems – Vincent Li
Dubai tokenisation future prospects
With the global tokenised real estate market projected to hit $16 billion by 2033, Dubai’s early adoption positions it as a leader in property technology. The DLD and VARA’s partnership underscores the emirate’s commitment to innovation, setting a benchmark for digital transformation in real estate.
As Al Marri noted, “Real estate tokenization represents a qualitative leap toward a more inclusive and transparent investment model.”
The initiative marks a notable step in Dubai’s ambition to become a global hub for both real estate and emerging technologies.
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