Dubai Land Department launches second phase of real estate tokenization program to expand fractional property ownership in the emirate

Real estate in Dubai and the Maldives is entering a new digital frontier, with developers rolling out tokenized property projects worth millions of dollars combined.

The move signals a growing intersection of blockchain technology and property investment, allowing broader participation from global investors.

Dubai Launches Second Phase of Tokenization Pilot

On Friday, the Dubai Land Department announced the second phase of its real estate tokenization pilot program.

The first phase saw about $5 million worth of property in Dubai converted into tokens, with roughly 7.8 million tokens available for resale.

This model allows investors to own fractions of properties through digital tokens, making the market more accessible.

The pilot program’s infrastructure is managed by Ctrl Alt, a Virtual Asset Service Provider licensed in Dubai.

Ctrl Alt will issue “Asset-Referenced Virtual Asset management tokens” to allow seamless transfer of property tokens on secondary markets.

All on-chain transactions are recorded on the XRP Ledger and secured by Ripple Custody, providing transparency and blockchain-backed security.

Dubai officials have projected that the tokenization program could contribute approximately $16 billion to the emirate’s real estate market by 2033, about 7% of all property transactions in the jurisdiction.

Experts have noted that Dubai’s combination of a robust real estate sector and crypto-friendly regulations makes it one of the most attractive hubs for tokenized property globally.

Trump-Linked Maldives Resort Eyes Tokenization

Meanwhile, in the Maldives, real estate development company DarGlobal and crypto-backed finance firm World Liberty Financial, affiliated with US President Donald Trump and his sons, are exploring tokenization for a Trump-branded resort.

The tokenization will cover the development phase and is being executed in partnership with fintech firm Securitize.

DarGlobal CEO Ziad El Chaar told Cointelegraph, “We definitely see this as taking over the way other projects are being funded.

[Tokenization] 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.”

The Maldives deal was unveiled during a crypto-aligned event at Trump’s Mar-a-Lago estate, attended by traditional finance executives like Goldman Sachs CEO David Solomon, crypto leaders such as Coinbase CEO Brian Armstrong, and US Senators Ashley Moody and Bernie Moreno.

How Tokenization Changes Real Estate Investment

Tokenized real estate allows investors to purchase digital representations of property, reducing entry barriers for smaller investors and increasing liquidity in the market.

Each token represents a fractional share of the property, which can then be traded on secondary markets.

In Dubai, this model is seen as a potential $16 billion boost over the next decade, while in the Maldives it promises to democratize access to luxury resort investment.

Experts say jurisdictions embracing tokenization benefit from attracting global capital and modernizing their real estate markets.

Dubai, in particular, has positioned itself as a crypto-forward hub, leveraging its favorable regulatory framework to encourage innovation in property ownership and investment.

What’s Next?

Investors and developers are watching closely as these tokenization projects move into their next stages.

Dubai’s pilot program will expand the number of tokenized properties, potentially drawing international buyers seeking fractional ownership.

In the Maldives, construction and investment milestones will be tracked digitally, with token holders able to participate in the resort’s financial upside.

Regulators and market participants alike will need to navigate legal, financial, and technological complexities as tokenized real estate grows.

Ensuring proper disclosure, security, and adherence to both local and international financial laws will be crucial to sustaining investor confidence.

Summary

Dubai and the Maldives are leading the way in tokenized real estate, creating opportunities for investors to buy fractional shares in properties through blockchain-backed tokens.

Dubai’s pilot program, managed by Ctrl Alt and recorded on the XRP Ledger, could add $16 billion to the emirate’s property market by 2033.

In the Maldives, a Trump-branded resort development aims to tokenize investment opportunities in partnership with World Liberty Financial and Securitize, bringing fractional ownership to high-end real estate.

Both initiatives mark a significant shift in how property investment is conducted globally, merging technology, finance, and accessibility.