Dubai has increased the number of investors into its real estate sector through its new tokenization initiative. According to Dr. Mahmoud AlBurai, Senior Director of Real Estate Policies and Innovation at Dubai Land Department, 68% of the 1,025 investors who participated in funding the five tokenized properties were first-time real estate buyers.
This number reflects how tokenization of real estate assets can bring in new investors by democratizing the process and making it simpler, and more cost-effective to participate.
AlBurai noted on LinkedIn discussing the recent funding of two new tokenized properties, “I am so delighted to share with you the great success we achieved today in funding 2 luxury properties part of Dubai Real estate tokenization project funded by 462 investors.”
He added that in total for the five tokenized properties funded to date there were 1,025 investors from 69 nationalities investing on average $2,432 with 685 of them being first time buyers.
According to a recent Fitch rating report that came out in May 2025, Dubai real estate prices rose 60% from 2022 to the first quarter of 2025. Fitch added that it expected a moderate price correction of up to 15% in the second half of 2025 and 2026. Fitch attributes this to a spike in deliveries in 2025 and 2026 to a planned 210,000 units, doubling from the previous three years.
Dubai which has long been espousing its digitization efforts being one of the first to come out with its blockchain strategy, with UAE also being the first in the MENA region to develop its digital economy strategy under Dubai Economic Agenda D33 has been pushing the envelope forward with virtual asset regulations, stablecoin regulations, and now tokenization of real estate assets.
In May, the Dubai Land Department (DLD) launched the pilot phase of the Real Estate Tokenization Project, aimed at tokenizing property deeds in collaboration with Dubai’s regulatory body VARA and the Dubai Future Foundation. Since then, it has already successfully funded five real estate projects with its PRYPCO Mint platform, powered by the XRP Ledger and issued through Ctrl Alt.
DLD expects that real estate tokenization sector will be valued at $16 billion by 2033 representing a whomping 7% of Dubai’s total real estate transactions.
This comes as the global market for tokenized real estate is experiencing growth with ScienceSoft expecting that the market size in 2039 will be $3 trillion, 15% of global real estate under management.
EY, in a report, reinforces that the importance of tokenized real estate lies in its ability to be accessed by investors around the world, fostering a diverse investor base and enabling cross-border investments. EY expects the global real estate market to reach $280 trillion, with assets under management totaling $3.7 trillion, and they expect tokenization will unlock a significant portion of this market for international investors.
So it would seem Dubai is on to something big, not only digitizing its economy but also broadening its real estate market to include more international investors as well as more first-time international buyers.
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