Dubai-based developer DAMAC Group has entered a landmark partnership with blockchain platform MANTRA, securing a $1 billion deal to tokenize real-world assets (RWAs) across the Middle East.

Asset tokenization aims to revolutionize ownership and trading by transforming rights into digital tokens through blockchain technology. This approach enables seamless digital ownership and efficient transactions of assets, such as properties.

As part of this collaboration, DAMAC's assets in the Middle East are expected to be available on the MANTRA chain early this year, according to Reuters.

Moreover, the report highlighted that DAMAC, a prominent leader in Dubai's real estate and technology sectors, has been actively investing in global data centers.

Recently, its Chairman, Hussain Sajwani, in collaboration with U.S. President-elect Donald Trump, unveiled plans to invest $20 billion in U.S. data center projects over the coming years.

“DAMAC is always exploring new technologies to enhance our product offerings. Partnering with MANTRA is a natural extension of our commitment to innovation and forward-thinking solutions,” stated Amira Sajwani, DAMAC’s Managing Director of Sales & Development.

The Rise of Tokenized RWAs

In 2024, the tokenization of real-world assets (RWAs) gained significant momentum, with several major initiatives underscoring the growing integration of blockchain technology into traditional finance.

Notably, BlackRock, the world's largest asset manager, launched its tokenized fund, BUIDL, on the Ethereum network in March. This fund focuses on assets like cash, U.S. Treasury bills, and repurchase agreements, aiming to offer stable value and daily accrued dividends directly to investors' wallets.

Similarly, Abu Dhabi-based technology firm Realize introduced "The Realize T-BILLS Fund", which tokenizes units of U.S. Treasury-focused ETFs for blockchain trading.