Billion-Dollar Tokenization Projects Reshape Real Estate Landscape

In 2025, the tokenization of luxury and commercial real estate is transitioning from experimental projects to substantial billion-dollar initiatives. This shift is marked by the use of blockchain technology to convert property shares into digital tokens. This innovation opens up opportunities for fractional ownership, enhances cross-border participation, and injects liquidity into assets that have traditionally been difficult to trade.

As the market evolves, several key projects are leading the way in this transformation, most notably from companies like MultiBank Group, MANTRA Chain, Propy, and Hedera through its partnership with RedSwan CRE.

Innovative Initiatives in Tokenization

Hedera, recognized for its enterprise-grade Hashgraph distributed ledger, is facilitating real estate tokenization via its collaboration with RedSwan CRE. RedSwan manages a diverse portfolio valued at approximately $5 billion in commercial real estate and operates the Token Studio on Hedera. This platform allows for fractional ownership and secondary trading of digital securities, establishing a strong foundation for regulated real-world asset (RWA) tokenization. While the scale of luxury residential projects on Hedera is still developing, particularly when compared to the billion-dollar projects in markets like Dubai, the ecosystem remains robust and ready for institutional engagement.

Through Token Studio, RedSwan offers a comprehensive digital experience for fractional investing, aiming to redefine real estate as a globally accessible asset class.

In May 2025, the Dubai-based MultiBank Group, recognized as the world’s largest financial derivatives institution, announced a partnership with MAG Lifestyle Development and blockchain firm Mavryk. This collaboration aims to launch the largest RWA tokenization initiative to date, valued at $3 billion. MAG is contributing a premium property portfolio that includes prestigious developments like The Ritz-Carlton Residences and Keturah Reserve. This initiative will support the $MBG utility token, which offers various benefits including staking and fee discounts, and operates under a deflationary buy-back model.

Mavryk’s blockchain platform is designed to ensure compliant asset distribution, facilitating DeFi integrations that enhance utility and access for users. With a derivatives business generating $362 million in revenue in 2024, MultiBank Group is also eyeing a pipeline of tokenized assets worth $10 billion, positioning the $MBG utility token as a key player in institutional-grade property tokenization.

Expanding the Tokenization Ecosystem

Another significant player in this evolving landscape is MANTRA Chain, a Layer-1 blockchain built specifically for compliant RWA tokenization. The platform integrates KYC/AML processes, a decentralized exchange, and interoperability through IBC to support various tokenized assets including real estate and securities. In early 2025, MANTRA secured a $1 billion deal with DAMAC Group to tokenize a range of properties and hospitality assets across the UAE. This followed a $500 million partnership with MAG Property, establishing MANTRA as a central hub for institutional tokenization in the Gulf region.

Licensed as a virtual asset service provider under VARA, MANTRA has also initiated a $108 million ecosystem fund to accelerate the adoption of RWA. The blockchain aims to serve as the “ledger of record” for tokenized assets, balancing regulatory compliance with decentralized technology.

Propy, a pioneer in blockchain-based property transactions, continues to expand its offerings. The platform facilitated the first U.S. crypto real estate sales in 2022, using NFTs to represent property ownership. Its native PRO token supports listings and settlements within its ecosystem. In 2025, Propy is enhancing its international property database with RWA-enabled listings. While its current deal volume does not yet rival the billion-dollar tokenizations of MultiBank and MANTRA, it remains a strong contender among early adopters interested in acquiring residential real estate using cryptocurrency and NFTs.

Propy is also changing the dynamics of property transactions, offering a borderless environment for buyers and sellers. By enabling NFT-based ownership transfers and crypto-backed mortgages, it provides investors with increased speed, transparency, and efficiency in accessing global property markets.

The ongoing tokenization of luxury and commercial real estate signifies a new phase in asset management. As companies like MultiBank Group and MANTRA Chain execute significant projects within regulated frameworks, platforms like Propy and Hedera illustrate the necessary infrastructure for global adoption. For investors, the benefits are tangible: fractional access to high-value properties, enhanced liquidity, and the transparency of blockchain technology. As 2025 progresses, these initiatives exemplify the potential of on-chain ownership to transform how prime real estate is bought, sold, and held.