Dubai real estate sales hit $18B in May amid tokenization push

Dubai's real estate market recorded a remarkable $18.2 billion in sales in May 2025, marking a 44% increase year-on-year and a 6% rise in transaction volume, with 18,700 deals completed during the month. This surge was driven by strong activity in both primary and secondary markets, with primary sales value spiking 314% compared to May 2024, and secondary sales rising 21% in value.

This record-breaking performance coincides with a growing push towards real estate tokenization in Dubai. Tokenization involves converting physical property assets into digital tokens, allowing fractional ownership and easier trading on blockchain platforms.

Experts, such as Scott Thiel, CEO of Tokinvest, see this market liquidity and dynamism as a clear signal that Dubai is ready for innovative real estate solutions like tokenization, which is expected not only to follow but to accelerate market growth.

Several regulatory and industry developments support this transition. In May 2025, Dubai's MultiBank Group, MAG real estate, and a blockchain provider signed a $3 billion agreement to bring big real estate projects onto a regulated blockchain marketplace.

The Virtual Asset Regulatory Authority (VARA) updated guidelines to facilitate real-world asset (RWA) tokenization, providing a clear legal framework for issuing and trading tokenized real estate assets.

Additionally, the Dubai Land Department, Central Bank of the UAE, and Dubai Future Foundation launched a platform enabling investors to purchase tokenized shares in ready-to-own properties, further institutionalizing tokenization in the region.

The tokenization trend promises increased liquidity, transparency, and security in property transactions, attracting both local and international investors and reshaping property ownership dynamics in Dubai's thriving real estate market.

Dubai's $18.2 billion real estate sales in May 2025 reflect not only robust market growth but also a strategic shift towards tokenization, supported by strong regulatory backing and innovative blockchain partnerships, positioning Dubai as a global leader in real estate innovation.

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