12/06/2026 03:58 AST
The UAE is positioning itself as a global hub for tokenisation, targeting a share of more than $600 trillion worth of real-world assets (RWAs) that could migrate onto blockchain-based platforms in the coming years.
Tokenisation - the process of converting physical and financial assets into digital tokens - is gaining traction as financial markets shift towards blockchain infrastructure. While the global crypto market is currently valued at around $3 trillion, traditional investable assets such as equities, bonds, real estate and commodities represent a vastly larger pool.
Real estate accounts for an estimated $300 trillion of this opportunity worldwide, followed by roughly $200 trillion in stocks and bonds and about $31 trillion in gold, highlighting the scale of assets that could be digitised.
Industry participants say moving such assets on-chain could expand investor access, including through fractional ownership, and increase cross-border participation. In the UAE, this could widen participation beyond the current base of about 2.4 million public equity investors.
"The next wave of financial adoption will be defined by how much of the existing financial world can be brought on-chain in a trusted, compliant and accessible way," said Tajinder Virk, co-founder and chief executive of Blockmaze.
Less than 0.01% of the potential asset pool has been tokenised so far, indicating significant room for growth. Consulting firm McKinsey estimates that more than $2 trillion worth of assets could move on-chain by 2030.
Regulatory clarity is emerging as a key differentiator, with the UAE promoting frameworks to support tokenised assets, including real estate, gold and private credit. The shift is also tied to efforts to build stablecoin-based payment rails, enabling faster settlement and improving capital efficiency for cross-border transactions.
"Tokenisation is no longer a future concept - it is becoming a structural transformation in global finance," Virk said.
Market participants also point to operational efficiencies, including faster settlement times, increased liquidity and the ability to trade assets around the clock. Fractionalisation, in particular, could lower barriers to entry for retail investors by reducing minimum investment sizes.
However, industry executives stress that regulatory alignment and asset verification remain critical. "The future of tokenisation cannot only depend on technical validation - it requires legal recognition," said Puneet Mangla, chief operating officer at Blockmaze.
As jurisdictions develop frameworks for digital assets, the UAE's combination of regulatory support, digital infrastructure and investor demand is expected to underpin its ambitions to become a leading centre for tokenised finance.
Khaleej Times
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