The authorities of Dubai and the cryptocurrency platform Crypto.com have signed a memorandum of cooperation - they will begin joint work on the implementation of blockchain and digital currencies in the real estate sector.
This is part of the Dubai Real Estate Strategy 2033 aimed at creating a 'smart' ecosystem based on new technologies and asset tokenization.
Payment for real estate and government fees in cryptocurrency
Under the terms of the agreement, Crypto.com will assist in digital real estate transactions - from payment in cryptocurrency to tokenization of properties and providing analytical tools. In turn, the Department of Land Resources (DLD) will handle regulatory and logistical support for the projects.
The Dubai Financial Department also intends to connect: after the launch of the new system, users will be able to pay government fees in cryptocurrency. Funds will be automatically converted to dirhams and deposited into the government's account.
Creating a digital infrastructure for transactions
The parties plan to build a unified digital platform where it will be possible to:
Conducting real estate transactions using cryptocurrencies
Carrying out investor verification within legal norms
Implementing custodial storage and settlement processes in a secure digital environment
The implementation of the project should increase liquidity in the market, accelerate transactions, and simplify access to real estate investments, including international transfers.
Real estate tokenization has already begun
At the same time, the pilot project PRYPCO Mint, launched in collaboration with DLD, is developing. As part of the initiative, the first transactions for the sale of tokenized real estate have already been conducted. The project operates in a sandbox created with the participation of the Central Bank of the UAE, the virtual assets regulator VARA, and the Dubai Future Foundation.
Judging by the actions of the authorities, Dubai continues to strengthen its position as a global hub for digital assets. Now the priority is one of the key sectors of the economy: the real estate market.
