MultiBank, MAG, Mavryk Partner on $3 Billion RWA Tokenization Deal

MultiBank Group, a leading financial derivatives institution based in Dubai, has entered into a historic $3 billion real-world asset (RWA) tokenization agreement with MAG, a prominent real estate developer in the United Arab Emirates, and Mavryk, a blockchain infrastructure provider. This deal marks the largest RWA tokenization initiative globally to date and underscores the imminent launch of MultiBank’s native utility token, MBG.

The collaboration will facilitate the tokenization of MAG’s prestigious real estate projects, including The Ritz-Carlton Residences, Dubai, Creekside, and the Keturah Reserve. These tokenized assets will be accessible to global investors through MultiBank.io’s regulated RWA marketplace, offering daily yield to holders directly on the platform. Talal Moafaq Al Gaddah, senior executive vice chairman of MAG, highlighted that $3 billion worth of MAG’s real estate will be tokenized as individual RWA tokens on MultiBank’s platform, with Mavryk’s blockchain serving as the underlying layer-1 infrastructure.

Al Gaddah also noted that the MBG token will provide ecosystem utility, including trading discounts, early access to properties, and a deflationary buyback-and-burn model. This partnership aims to bridge traditional finance with tokenized assets, making high-value, income-generating real estate assets more accessible and tradable. MAG will contribute its premium real estate portfolio for tokenization, while Mavryk will handle blockchain issuance and DeFi integrations. MultiBank Group will manage regulatory compliance, liquidity, and governance, with the MBG token at the core of the system.

Tokenized assets issued by MultiBank will have dual utility within the MultiBank Group, serving as collateral for derivatives and creating a seamless bridge between traditional finance and tokenized assets. These tokens will be fully interoperable with the broader Mavryk DeFi ecosystem, enhancing their utility and value. The MBG token will power staking, fee payments, VIP tiers, and user rewards, featuring a buyback-and-burn mechanism tied to platform revenues. This mechanism aims to create long-term value for both institutional and retail participants, with the platform aiming to scale beyond the initial $3 billion to as much as $10 billion in tokenized assets.

The announcement of this deal comes at a time of renewed interest in RWA tokenization, reflecting the growing trend of integrating traditional finance with innovative blockchain solutions. This landmark transaction not only demonstrates the potential of blockchain technology in transforming traditional financial instruments but also highlights the increasing acceptance and adoption of digital assets by major financial institutions. As more entities recognize the benefits of RWA tokenization, we can expect to see an increase in similar deals, further driving the adoption of blockchain technology in the financial sector.