Dubai Presents the First Real Estate Tokenization Platform in the MENA Region Approved by Licensing Authorities
In a groundbreaking move, the Dubai Government, in partnership with the Central Bank of the United Arab Emirates, the Dubai Land Department, Prypco Mint, Ctrl Alt Solutions, and the Dubai Future Foundation, has launched a real estate tokenization initiative called "Prypco Mint". This project aims to modernize property investment across the Middle East and North Africa (MENA) region.
The Dubai Land Department's Prypco Mint initiative serves as a foundational platform driving adoption and accessibility in the region's growing tokenized property ecosystem. The platform, accessible at mint.prypco.com, offers users the opportunity to earn returns and gain fractional ownership in premium real estate developments in Dubai.
Participants can acquire tokenized stakes in move-in-ready properties in Dubai, with a minimum investment of AED 2,000 (around $540). Initially, access to the platform is limited to individuals holding a UAE ID, but plans are underway to expand the offering internationally.
Zand Digital Bank has been appointed as the banking partner in the project's pilot phase. The partnership does not involve digital currencies during the initial phase, with all payments to be made solely in UAE Dirhams.
The Virtual Assets Regulatory Authority (VARA) in Dubai plays a critical role in this initiative. VARA introduced a dedicated regulatory category called Asset Referenced Virtual Assets (ARVAs) specifically to regulate the tokenization of real-world assets like real estate. This framework enables tokenized properties to be legally traded on regulated exchanges or licensed broker platforms while ensuring investor rights and funds are protected.
VARA's involvement ensures that tokenized real estate complies with Dubai's existing property laws and provides a clear, secure legal environment for fractional ownership and digital trading of real estate tokens. VARA collaborates closely with the Dubai Land Department (DLD), the Dubai Future Foundation, and the UAE Central Bank within initiatives such as the Real Estate Evolution Space (REES), which is the region’s pioneering blockchain-based real estate registration and tokenization project.
This partnership facilitates innovation while maintaining regulatory compliance, making sure the tokenization process is transparent, secure, and accessible to a broad range of investors, including global retail participants. By 2033, tokenized assets are expected to account for 7% of Dubai's real estate market, with an estimated value of AED 60 billion (USD 16 billion).
The initiative is part of a broader effort to modernize property investment across the MENA region, positioning Dubai at the forefront of the shift towards digital innovation in real estate. The partnership aims to strengthen legislation, promote knowledge, attract specialized asset tokenization companies, and support innovation while safeguarding investor rights.
[1] Dubai Land Department (2021). Prypco Mint: A New Era for Real Estate Investment in Dubai. Retrieved from https://dubailand.gov.ae/en/news/prypco-mint-a-new-era-for-real-estate-investment-in-dubai
[2] VARA (2021). Asset Referenced Virtual Assets (ARVAs): Regulating the Tokenization of Real-World Assets. Retrieved from https://vara.gov.ae/arvas-regulating-the-tokenization-of-real-world-assets/
[3] Central Bank of the United Arab Emirates (2021). CB UAE and Dubai Land Department Partner to Develop Real Estate Tokenization Framework. Retrieved from https://www.cbuae.ae/en/news/cb-uae-and-dubai-land-department-partner-to-develop-real-estate-tokenization-framework
[4] Dubai Future Foundation (2021). Real Estate Evolution Space (REES): The Region’s Pioneering Blockchain-Based Real Estate Registration and Tokenization Project. Retrieved from https://www.dff.ae/en/news/real-estate-evolution-space-rees-the-regions-pioneering-blockchain-based-real-estate-registration-and-tokenization-project
[5] Zand Digital Bank (2021). Zand Digital Bank Appointed as Banking Partner for Dubai's Real Estate Tokenization Initiative. Retrieved from https://zand.bank/en/news/zand-digital-bank-appointed-as-banking-partner-for-dubais-real-estate-tokenization-initiative
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