DMCC, Dubai’s leading international business district, has announced a strategic partnership with the Dubai Virtual Assets Regulatory Authority (VARA) to pioneer the development of a global infrastructure for tokenised commodities. This collaboration aims to merge physical commodities like gold and diamonds with blockchain-based financial systems, reinforcing Dubai’s position as a global hub for trade and digital innovation.
A Strategic Alliance for Digital Assets
The partnership leverages the distinct strengths of both entities, combining DMCC’s deep expertise in commodities and its extensive network of 26,000 member companies with VARA’s world-class regulatory framework. Together, they will establish a secure, transparent, and scalable system for tokenised assets, designed to improve access to international markets and promote the wider adoption of blockchain-powered trading.
The agreement also includes collaboration on data sharing, sector analysis, and economic impact reporting to support data-driven policy development that balances innovation with market integrity.
Piloting the Future of Commodity Trading
Under the new agreement, DMCC and VARA will initiate pilot projects to explore the practicalities of tokenising high-value commodities, starting with gold and diamonds. These pilots will serve as a foundational step, assessing the technical and regulatory requirements, market viability, and necessary investor protection measures. The insights gained will inform the creation of practical and investable tokenisation models ready for the global market.
Fostering Education and Investor Protection
A central pillar of this collaboration is a shared commitment to education and investor safety. The two organisations plan to launch a series of joint workshops, seminars, and awareness campaigns. These initiatives will aim to deepen the understanding of tokenisation among institutional and retail investors, covering its benefits, risks, and the evolving regulatory landscape surrounding this new asset class.
Cementing Dubai’s Position as a Global Web3 Hub
This initiative builds upon DMCC’s existing work in digital commodities, including gold-backed assets offered via its Tradeflow platform. With over 1,500 companies in the precious metals sector and more than 700 Web3 firms in its Crypto Centre, DMCC is uniquely positioned to drive this transformation.
Ahmed Bin Sulayem, Executive Chairman and CEO of DMCC, stated, “By combining VARA’s world-class regulatory oversight with DMCC’s 26,000-member community and unmatched expertise in commodities, blockchain and Web3, we are creating a secure, scalable framework to tokenise assets… we will unlock a new era of real-world, investable products that expand global market access, enhance liquidity and trust.”
Matthew White, CEO of VARA, added, “This is not about experimenting at the edges; it is about setting global benchmarks for how physical and digital markets converge. Our role at VARA is to ensure that as these new products emerge, they do so in a way that is safe, transparent, and credible.”
About DMCC
The Dubai Multi Commodities Centre (DMCC) is a government entity established in 2002 to enhance commodity trade flows through Dubai. As the UAE’s largest free zone, it hosts nearly 26,000 businesses from various sectors, including precious metals, diamonds, crypto, and Web3. DMCC contributes approximately 15% of Dubai’s total foreign direct investment and 7% of its GDP, playing a crucial role in the emirate’s economic diversification and growth.
Source: Gulf Business
