OKX MENA CEO urges substance over hype in RWA tokenization boom

As the real-world asset (RWA) tokenization wave sweeps across the Middle East, OKX’s regional chief warns that the crypto industry must prioritize tangible utility over speculative enthusiasm.

During the Token2049 conference in Dubai, Rifad Mahasneh, CEO of OKX’s Middle East and North Africa (MENA) division, emphasized the importance of delivering everyday value in RWA tokenization projects. While acknowledging that hype plays a role in catalyzing Web3 growth, Mahasneh cautioned that the long-term success of tokenized assets hinges on their practical utility, especially in a rapidly evolving and regulation-sensitive environment like the UAE.

RWA Tokenization Gains Traction Across the UAE

Mahasneh’s comments come amid a flurry of major RWA initiatives taking root in the UAE:

• On May 1, MultiBank Group signed a landmark $3 billion RWA agreement with UAE-based real estate giant MAG and blockchain infrastructure firm Mavryk—the largest deal of its kind to date.
  
• On March 19, the Dubai Land Department launched a pilot program for real estate tokenization, working alongside the Virtual Assets Regulatory Authority (VARA) to digitize property assets in line with regulatory standards.
  
• Earlier in the year, Mantra inked a $1 billion tokenization deal with Damac Group to bring the conglomerate’s assets onto the blockchain. However, that optimism was short-lived—Mantra’s token suffered one of the biggest collapses in crypto history, wiping out billions in market capitalization by April 13.
  

Despite setbacks, Mahasneh believes regulatory clarity is a key driver of institutional participation. He praised the region’s proactive approach in setting clear rules for both exchanges and asset issuers.

Stablecoin Regulation Bolsters Institutional Confidence

A cornerstone of the UAE’s tokenization leadership is its stablecoin regulation framework. In June 2024, the Central Bank of the UAE approved a comprehensive licensing regime for dirham-backed payment tokens, laying the foundation for stablecoin issuance, supervision, and integration into the broader financial ecosystem.

On April 29, a group of major institutions including Abu Dhabi’s sovereign wealth fund (ADQ), First Abu Dhabi Bank, and International Holding Company—partnered to issue a dirham-pegged stablecoin, now pending regulatory approval. Meanwhile, Tether has also entered the fray with its own dirham-backed offering.

A Call for Responsible Innovation

While enthusiasm for tokenizing real-world assets continues to grow, Mahasneh’s message is clear: value creation must lead, not lag, market excitement. In a region forging ahead on crypto infrastructure and compliance, the focus must remain on substance over speculation.