TLDR
- MANTRA blockchain and DAMAC Group partner to tokenize $1B in assets
- Assets include real estate, hospitality, and data centers
- Launch planned for early 2025
- DAMAC began accepting crypto payments in 2022
- MANTRA received $11M funding for infrastructure expansion
MANTRA blockchain platform has entered into a partnership with UAE-based property conglomerate DAMAC Group to tokenize at least $1 billion worth of assets, with the program scheduled to begin in early 2025.
The collaboration aims to convert various DAMAC assets into digital tokens, including properties from their real estate development portfolio, hospitality ventures, and data center operations. This move represents one of the largest asset tokenization initiatives in the UAE’s property sector.
DAMAC Group, which started accepting cryptocurrency payments in 2022, has established itself as an early adopter of blockchain technology in the real estate sector. The company’s portfolio spans multiple industries, with recent expansion into data center development.
The tokenization process will be facilitated through MANTRA’s blockchain infrastructure, which launched its mainnet in October 2024. MANTRA specializes in the tokenization of real-world assets (RWAs) and has been actively expanding its operations in the UAE market.
Amira Sajwani, DAMAC’s managing director, explained that the initiative will provide investors with new ways to access their investment offerings.
“This partnership will create a secure and transparent system for investors to participate in our various business ventures,” Sajwani stated.
The program will utilize blockchain technology to digitize traditional asset ownership, allowing for fractional investment opportunities. This approach aims to lower barriers to entry for both retail and institutional investors interested in DAMAC’s portfolio.
MANTRA’s selection for this project follows their recent $11 million funding round, which was designated for infrastructure enhancement and operational expansion in Hong Kong and the UAE. The company has demonstrated its capability through previous partnerships with other UAE-based firms.
The tokenization project will begin with select properties and assets from DAMAC’s portfolio, with plans to expand the program based on market response and regulatory compliance. The initial phase is scheduled to launch in the first quarter of 2025.
Dubai’s Vision
DAMAC’s move into asset tokenization aligns with Dubai’s broader strategic vision to become a global hub for digital assets and blockchain technology. The UAE has been implementing supportive regulatory frameworks for digital asset initiatives.
The technical infrastructure for the tokenization will be built on MANTRA’s proprietary blockchain platform, which was specifically designed to handle real-world asset tokenization at scale. The system includes features for compliance, investor verification, and secure asset management.
Earlier this week, DAMAC revealed plans for a $20 billion investment in data centers, which could potentially be included in future tokenization initiatives. This expansion demonstrates the company’s commitment to diversifying its asset portfolio.
The tokenization process will include multiple asset classes within DAMAC’s portfolio, offering investors various entry points and investment opportunities. Each token will be backed by real assets, providing holders with verifiable ownership rights.
Security measures for the tokenized assets will include multi-signature protocols, regular audits, and compliance with UAE regulatory requirements. MANTRA has confirmed that all necessary regulatory approvals have been secured for the initial phase of the program.
DAMAC’s hospitality assets, which include luxury hotels and residential serviced apartments, will form part of the tokenization program. These assets have historically been accessible only to large-scale investors.
The most recent development in this partnership includes the completion of technical infrastructure testing and the establishment of operational protocols for the first wave of asset tokenization, scheduled for implementation in early 2025.
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