Tokenised Real‑Estate Projects Gain Momentum in Dubai and the Maldives
Dubai’s Land Department rolls out a second‑phase pilot, while a Trump‑linked resort in the Maldives prepares to issue digital ownership tokens.
Dubai: Phase‑Two of a Government‑Backed Tokenisation Pilot
The Dubai Land Department (DLD) announced on Friday that it will launch the second phase of its real‑estate tokenisation pilot, extending a programme that began earlier this year. The inaugural phase saw roughly US$5 million of property assets fragmented into about 7.8 million digital tokens, allowing owners to trade fractional stakes on secondary markets.
The pilot is being executed with Ctrl Alt, a Dubai‑licensed Virtual Asset Service Provider (VASP). Ctrl Alt will issue “Asset‑Referenced Virtual Asset Management Tokens” that represent the underlying properties. All on‑chain activity will be recorded on the XRP Ledger and custodial services will be provided by Ripple Custody, giving the transaction layer a proven, permissioned blockchain backbone.
In a May 2025 forecast, DLD estimated the tokenisation initiative could generate ≈US$16 billion in transaction volume by 2033, accounting for roughly 7 % of all property deals in the emirate. Industry observers attribute this outlook to Dubai’s crypto‑friendly regulatory framework, transparent land‑registry integration, and the growing appetite for fractional real‑estate exposure among retail and institutional investors.
Maldives: Trump‑Branded Resort Targets Fractional Funding
A few days after the Dubai announcement, DarGlobal – the international real‑estate developer behind several high‑profile projects – and World Liberty Financial, a crypto venture linked to former U.S. President Donald Trump and his sons, unveiled plans to tokenise the development phase of a Trump‑branded resort in the Maldives.
The token issuance will be carried out in partnership with Securitize, a fintech firm that provides compliant security token platforms. DarGlobal CEO Ziad El Chaar told Cointelegraph that tokenisation “will open the door to many more investors, who would like to take part in investing in real estate but don’t have access today.”
World Liberty announced the deal at a crypto‑aligned gathering at Trump’s Mar‑a‑Lago estate, which was attended by traditional finance executives (including Goldman Sachs CEO David Solomon), crypto leaders such as Coinbase CEO Brian Armstrong, and U.S. senators Ashley Moody and Bernie Moreno.
Analysis: What the Two Projects Signal for the Market
| Factor | Dubai | Maldives |
|---|---|---|
| Strategic Goal | Test government‑backed tokenisation, create a regulated secondary market for property assets. | Use security tokens to broaden the investor base for a high‑profile resort development. |
| Technology Stack | XRP Ledger + Ripple Custody (permissioned, low‑latency settlement). | Securitize platform (compliant with securities law, likely built on Ethereum or a compatible chain). |
| Regulatory Context | Explicit VASP licensing, DLD’s oversight, alignment with UAE’s proactive crypto policies. | Tokenisation framed as a security offering; compliance driven by Securitize’s KYC/AML framework. |
| Projected Impact | Potential US$16 bn market by 2033; could account for 7 % of all property transactions in Dubai. | Ability to raise capital from a global pool of investors without traditional financing constraints. |
| Risks | Dependence on adoption of secondary markets, price volatility of underlying tokens, legal clarity on fractional ownership. | Reputation risk linked to politically exposed persons, potential regulatory scrutiny in multiple jurisdictions. |
Both initiatives illustrate a converging trend: real‑estate developers and authorities are leveraging blockchain to create fractional, liquid, and globally accessible ownership structures. By moving the record‑keeping of property rights onto public ledgers, participants can benefit from near‑instant settlement, reduced intermediaries, and transparent audit trails.
However, the success of these pilots hinges on three critical variables:
- Regulatory Certainty – While Dubai enjoys a clear VASP regime, other jurisdictions may still be defining the legal status of security tokens linked to immovable assets.
- Investor Education & Trust – Fractional ownership is still a novel concept for many retail investors; confidence will grow only as secondary‑market liquidity improves.
- Interoperability & Standards – A fragmented technology landscape (XRP Ledger vs. Ethereum‑based platforms) could hinder cross‑border token trading unless industry‑wide standards emerge.
Key Takeaways
- Dubai’s DLD is scaling its tokenisation pilot, with a second phase built on the XRP Ledger and Ripple Custody, aiming to capture a multi‑billion‑dollar slice of the emirate’s property market by 2033.
- The Maldives project introduces a security‑token model for a Trump‑branded resort, pairing DarGlobal’s development expertise with World Liberty’s crypto backing and Securitize’s compliance infrastructure.
- Tokenisation promises broader investor participation and faster, more transparent settlement, but regulatory clarity, market liquidity, and technology standardisation remain decisive factors.
- The involvement of high‑profile figures and institutions (from former political leaders to major banks) signals growing mainstream acceptance, yet also raises scrutiny on governance and compliance.
As tokenised real‑estate ventures move from pilot to production, the sector will serve as a litmus test for how quickly blockchain can reshape traditionally opaque markets such as property investment. Stakeholders should monitor legislative developments, secondary‑market activity, and the performance of the underlying blockchain infrastructure to gauge long‑term viability.
Source: https://cointelegraph.com/news/tokenized-real-estate-advance-dubai-maldives?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
