Blockchain will be used for property ownership, voting, and smart contracts to ensure transparency
The Dubai Multi Commodities Centre (DMCC) and Reit Development have announced plans for a new building that will showcase how blockchain technology can be used in real life. This move aims to strengthen Dubai’s position as a leader in adopting new technologies.
The 17-story Crypto Tower will be built at DMCC’s main location in Jumeirah Lakes Towers. It is designed to host blockchain, decentralized finance (DeFi), and Web3 companies, according to a joint statement released on Wednesday.
The Crypto Tower will use blockchain technology for managing real estate, tenant ownership, on-chain voting, and smart contracts. This shows Dubai’s commitment to promoting secure and advanced technologies.
The land for the Crypto Tower was purchased in December 2021 for AED 16.5 million ($4.5 million). All transactions and operational details for the development are recorded on the blockchain, ensuring full transparency and real-time access, as stated on the DMCC website.
Construction of the Crypto Tower is expected to be finished by the first quarter of 2027, with the building starting operations soon after, according to DMCC and Reit Development.
The Crypto Tower will offer about 14,000 square meters of rentable space across nine floors. It will include special areas for startup incubators, venture capital and investment firms, and innovation spaces focused on artificial intelligence, which is one of the most popular technologies today.
“The Crypto Tower is a groundbreaking project that combines blockchain, Web3, and real estate,” said Ahmed bin Sulayem, Executive Chairman and CEO of DMCC. “It will provide a variety of advanced facilities and services for our members. The launch of Crypto Tower is a real-world example of the future of Web3, where transparency and ownership are guaranteed by blockchain technology. It also shows our commitment to making Dubai the world’s top innovation hub.”
Blockchain is the technology behind cryptocurrencies and decentralized finance. It is seen as a safer way to conduct transactions and has the potential to replace middlemen like brokers and banks in the financial system.
The UAE has taken many steps to integrate blockchain into its economy, government, and society to help develop the economy. Blockchain has been a special focus, with several government projects launched, including the Emirates Blockchain Strategy 2021, the Dubai Blockchain Strategy, and the creation of the Global Blockchain Council.
Additionally, the UAE aims to become one of the next major crypto capitals in the world. This is attracting institutional investors, hedge funds, and large financial companies to move to and set up in the country.
In 2023, investors in the UAE made $204 million in profits from cryptocurrency investments, according to data from blockchain data company Chainalysis.
“By combining blockchain technology with real-world construction in Dubai’s DMCC, we’re creating a physical tower that serves as a central hub for the crypto community,” said Brenda Stratton, Communications Director of Dubai-based Reit Development. “Every expense is recorded on the blockchain, setting a new standard for transparency in the industry.
