Dubai Virtual Assets Regulatory Authority (VARA) granted a full market license to real-world asset investment marketplace Tokinvest on January 14.thThis makes the company the first company to receive a VARA operating license within the Dubai DMCC International Business District. As a VARA authorized licensee, Tokinvest's platform is accessible to a wider range of users.
CEO and co-founder Scott Tyle said: This strengthens our commitment to building a secure and compliant platform for our customers. This demonstrates our innovative approach to fractional investing. We aim to democratize access to high-profile assets. This allows individuals and institutions to unlock value and create liquidity for real-world assets. ”
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Tokinvest – New addition to UAE’s growing crypto industry
In less than a decade, the UAE has become a regional business hub and a hotspot for crypto ventures. This has created a favorable environment for cryptocurrencies and related businesses to grow and flourish.
Traditional financial companies in the UAE are also adopting crypto payments, reflecting the global shift towards crypto adoption. Once-sceptical regions are now beginning to embrace cryptocurrencies as they gain wider trust and usage.
Major companies such as Tokinvest, Tether, Binance, and Chainlink have expanded to the UAE, boosting Dubai and Abu Dhabi's reputation in the cryptocurrency space. This success is driven by clear and forward-thinking regulations.
The UAE is also making progress in areas such as tokenization of real-world assets and stablecoin regulation. Major regulatory bodies such as DFSA, DIFC, VARA, ADGM, and FSRA ensure that encryption projects meet both national and international standards. The framework provides a secure environment for companies and investors and eliminates legal uncertainty.
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Leverage blockchain technology for VARA-approved RWA
Tokinvest leverages blockchain technology to create a secure and efficient VARA-approved platform for disaggregating real-world assets. The company partners with top real estate developers, fund managers, and commodity trading platforms to ensure a strong lineup of high-value assets.
Investors can expect these tokenized products to be introduced to the market within weeks to months.
Big news! Tokinvest is the first company in Dubai @DMCC To secure a full market license from VARA for virtual asset broker-dealer operations!
Read the full article to learn more about this exciting update. https://t.co/oetI2RN03N pic.twitter.com/RaPa9x9H36
— Tokinvest (@Tokinvest_Cap) January 14, 2025
The full market license authorizes Tokinvest to operate as a virtual asset broker-dealer. This allows the company to serve retail and institutional investors in Dubai and abroad. This greatly increases the accessibility and attractiveness of fractional investing.
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What is segmentation? What does it mean for investors?
Fragmenting real world assets (RWA) allows investors to own a portion of the tokenized asset. This can also be further divided and sold to multiple investors. Each token represents a fractional share of ownership in the underlying asset. This will allow investors to trade these tokens in a similar way to stocks and cryptocurrencies.
For investors, this means:
Diversification: Fractional ownership allows investors to spread their risk by owning small stakes in multiple properties across different locations and asset classes, rather than investing in a single property.
flexible exit strategy: Investors can sell fractional shares of a property without having to sell the entire property, providing flexibility and liquidity.
Common costs and maintenance: Fractional ownership allows owners to share the costs of property maintenance and management, reducing the financial burden on a single investor.
The post Tokinvest goes all-in on Dubai's RWA marketplace after securing VARA license appeared first on 99Bitcoins.