- DLD and VARA join hands to achieve real estate tokenization in Dubai.
- Dubai is renowned for supporting blockchain implementation in the mainstream.
- The partnership will enhance inclusion and transparency in Dubai’s real estate sector.
Dubai’s Land Department (DLD) partnered with the Emirate’s Virtual Assets Regulatory Authority (VARA) to officially link the real estate registry with property tokenization platforms.
This collaboration uses an advanced governance system to integrate physical property records with blockchain-based tokens.
Boosting Efficiency, Liquidity via Blockchain
Dubai’s approach towards blockchain adoption is well-documented. The city is one of the foremost locations renowned for encouraging mainstream blockchain implementation. The latest move will enable property management companies to become more efficient and increase liquidity in the region’s real estate market.
The move builds on Dubai’s previously launched “Real Estate Tokenization Project.” Key officials including Helal Saeed Almarri (Director-General, Dept. of Economy and Tourism) and Marwan bin Ghalita (Director-General, DLD) attended the signing ceremony.
Related: Dubai Just Made It Easier to Own a Piece of the City with Crypto
Enabling Fractional Ownership, Widening Investor Scope
According to reports, the core motivation behind the latest agreement is to broaden investors’ scope in the Dubai real estate sector. Property tokenization will provide a more inclusive ecosystem via fractional ownership. It would allow smaller investors to participate in the sector and enhance the Dubai real estate industry’s global appeal.
Notably, the DLD and VARA tokenization project aligns with the “Dubai Real Estate Strategy 2033,” aiming to grow the region’s real estate transaction volume to AED 1 trillion. It also contributes to the “Dubai Economic Agenda D33,” which aims to double the region’s GDP over the next decade.
Officials Highlight Innovation, Infrastructure Goals
Speaking on the partnership between the DLD and VARA, Almarri said it reflects the spirit of innovation and integration between Dubai’s government and digital sectors. The Director-General noted that real estate tokenization represents a qualitative leap toward a more inclusive and transparent investment model.
Related: Dubai’s VARA: Striking the Right Balance in Crypto Regulation
Meanwhile, Ghalita considers the partnership crucial in driving real estate innovation. He believes it would attract technology companies to the region and enhance the sector’s digital infrastructure.
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