Dubai is moving from pilots to practical implementation as its ambitious dubai tokenization strategy shifts real estate assets onto blockchain rails.
Summary
Over $5 million in Dubai property now tradable as tokens
The Dubai Land Department (DLD) and tokenization firm Ctrl Alt have opened a new secondary market for real estate-backed tokens, allowing resale of roughly $5 million in fractional property ownership, according to a Friday announcement.
Approximately 7.8 million tokens linked to ten Dubai properties are now eligible for trading in a controlled environment. Moreover, all transactions will run through a regulated distribution platform, be recorded on the XRP Ledger, and secured using Ripple Custody solutions.
The tokens are backed by official title deeds, with every trade synchronized to Dubai’s land registry. This setup aims to align onchain ownership records with the emirate’s legal property framework while keeping settlement fast and transparent.
Dubai’s push to become a global hub for tokenized real estate
The initiative forms part of Dubai’s broader strategy to position itself as a leading center for real estate tokenization. By transforming property ownership into tradable blockchain tokens, authorities hope to streamline record-keeping and reduce settlement friction for investors worldwide.
However, a recent EY report noted that uneven regulation across jurisdictions and thin secondary market depth still constrain liquidity. That said, proponents argue that as more regulated venues open, tokenized real estate could become a mainstream asset class for both institutional and retail investors.
Globally, tokenized property remains a small slice of the overall market. Yet expectations for growth are significant. In a report published last year, Deloitte projected that $4 trillion of real estate could be tokenized by 2035, implying an annual growth rate of 27% over the next decade.
Inside Dubai’s $16 billion tokenization roadmap
The DLD, which oversees the emirate’s real estate sector, outlined a roadmap in 2023 to tokenize 7% of Dubai’s property market by 2033. That share corresponds to about $16 billion in assets, marking one of the most ambitious public-sector blockchain programs in the real estate industry.
The first phase of the plan involved launching a platform developed with Prypco and Ctrl Alt to record property deeds on the XRP Ledger (XRP). Furthermore, this foundation created the infrastructure needed to move from simple onchain records toward fully tradable real estate tokens.
The current secondary market launch represents the second phase of the pilot, focused on testing market infrastructure, investor protections, and alignment with existing property laws. Ctrl Alt, acting as infrastructure partner, has integrated directly with the DLD’s internal systems to issue and manage title deed tokens onchain.
Compliance layer with Asset-Referenced Virtual Assets
Each property token is matched with a second layer of digital instruments known as Asset-Referenced Virtual Assets (ARVAs). These ARVAs define who may trade the underlying tokens and under which specific conditions transactions can occur.
Moreover, the ARVA framework enforces compliance rules so that every trade is accurately recorded and reflected in Dubai’s official property registry. This two-tier structure is designed to ensure strict regulatory alignment while preserving the efficiency of blockchain-based transfers.
Supporters say this model could become a reference architecture for other jurisdictions looking to combine programmable assets with traditional land registries. However, widespread adoption will depend on regulators gaining comfort with both the technology and the legal structure around tokenized deeds.
Implications for investors and the tokenized property market
By enabling a controlled secondary market for tokens, the new platform aims to make fractional property ownership more liquid and accessible. Investors can buy and sell smaller slices of Dubai real estate without the friction of entire property transactions.
That said, market depth and pricing transparency will be closely watched as trading volumes build. Authorities will also monitor whether the dubai tokenization roadmap successfully broadens participation without compromising investor safeguards or the integrity of land records.
As Dubai advances toward its $16 billion vision, its experiment with XRP Ledger-based, title deed-backed tokens could influence how other global cities structure their own real estate token pilots and long-term digital asset strategies.
In summary, the DLD and Ctrl Alt are moving real estate tokenization from concept to practice, testing how blockchain, ARVAs, and regulated custody can support a scalable, legally compliant market for property-backed digital assets.
