Dubai Land Department (DLD) has officially announced phase 2 of its real estate Tokenize project, with a key highlight being the introduction of resale transactions on the secondary market, expected to begin on February 20, 2026 .
This move marks a new step in Dubai's strategy to digitize and modernize its real estate market, bringing the Tokenize property model closer to large-scale practical operation.
From primary testing to secondary market
In phase 1, the project focuses on:
- Tokenize eligible real estate assets.
- Allows investors to purchase ownership through a digital platform.
- Testing the legal infrastructure and blockchain technology.
In phase 2, DLD will unlock the real estate Token resale functionality, enabling:
- Increase liquidation for investors.
- Establishing a market-based pricing mechanism based on supply and demand.
- Bringing real estate Token closer to traditional financial standards.
According to the Dubai Land Department (DLD), real estate Token transactions on the secondary market will be implemented within a tightly regulated legal framework, directly linked to Dubai's official land registration system. This mechanism aims to ensure legal ownership, transparency, and investor protection, while limiting risks arising from assets traded in Token form. Allowing resale demonstrates that Dubai is not merely experimenting with the technology, but is gradually building a complete legal infrastructure for the Tokenize real estate model.
Dubai has long aimed to become a global hub for blockchain, digital assets, and Web3, with DLD's real estate Tokenize project XEM a key pillar. This initiative is part of the Dubai Real Estate Sector Strategy 2033, which aims to expand access to real estate for both domestic and international investors, while increasing transaction efficiency, reducing intermediary costs, and shortening processing times. Once the secondary market is activated, Tokenize real estate in Dubai is expected to attract larger international Capital flows, particularly from investors seeking Capital flexibility and high liquidation in the UAE real estate market.
The opening of secondary trading is expected to significantly improve the liquidation of real estate, which has traditionally been an liquidation asset class. Simultaneously, it lays the groundwork for the development of new Tokenize estate-linked financial products, including Derivative structures and future on-chain financial models. Overall, this move strengthens Dubai's position as one of the global pioneers in RWA and tokenization.
