Catenaa, Tuesday, April 15, 2025-Dubai has taken a major step in merging blockchain technology with the real estate sector through a new partnership between the Dubai Land Department (DLD) and the Dubai Virtual Assets Regulatory Authority (VARA). Announced on April 6, the collaboration aims to link the city’s real estate registry with property tokenization, offering a new avenue for fractional ownership and investment.
The agreement, signed during the pilot phase of the “Real Estate Tokenization” initiative, is the first of its kind globally. It introduces a governance model that connects traditional property ownership records with digital tokens, paving the way for increased liquidity and more accessible real estate investments. Smaller investors, in particular, are expected to benefit from the move, as it facilitates tokenized ownership of real estate assets.
The partnership aligns with the Dubai Real Estate Strategy 2033 and the Dubai Economic Agenda D33, both of which emphasize economic diversification and sustainability. One of the key goals is to expand the real estate sector to reach AED 1 trillion in transactions and grow by 70% in value.
This initiative is also expected to support the D33 agenda’s broader goal of doubling Dubai’s GDP within the next decade. Officials see the integration of virtual assets into real estate as a key strategy for achieving these ambitious economic targets.
The pilot phase of the Real Estate Tokenization Project, launched on March 20, 2025, will explore the use of blockchain for tokenizing property assets. It also aims to raise investor awareness of virtual asset regulation and improve digital infrastructure for fractionalized ownership models.
By advancing tokenization, Dubai is setting a global benchmark for integrating blockchain with traditional industries, marking a significant milestone in the city’s ongoing drive to become a hub for technological innovation and investment.
