Tokenization Emerges as the Middle East’s Next $600B Bet as Activity Surpasses $500B
The Middle East is emerging as a major force in the global digital asset economy, with annual virtual asset transactions in the region surpassing $500 billion and a rapidly expanding opportunity in the tokenization of real-world assets, according to new research released by financial infrastructure firm Fuze.
In its 2026 spotlight report on virtual assets in the Middle East, Fuze estimates that tokenizing assets such as real estate and commodities could generate up to $600 billion in economic value for the region by 2030. The findings point to a growing convergence of regulatory progress, infrastructure readiness, and rising adoption across both public and private sectors.
“The Middle East is no longer on the sidelines of digital finance,” said Fuze Chief Executive Officer Mo Ali Yusuf. “With half a trillion dollars in crypto transactions already flowing through the region, the foundations for large-scale tokenization are firmly in place. The UAE continues to lead in building a digital asset ecosystem, while Saudi Arabia is positioning itself as a global hub for tokenized assets.”
The report highlights 2025 as a pivotal year, during which crypto transaction volumes in the region accelerated despite periods of global market volatility. Fuze attributes this growth to clearer regulatory frameworks, increasing institutional participation, and broader acceptance of blockchain-based financial services.
One of the most immediate transformations is unfolding in the remittance market. Stablecoins, the report notes, are increasingly challenging traditional cross-border payment rails by offering faster settlement times and significantly lower costs. While conventional remittance fees typically range between 5% and 6%, stablecoin transfers can reduce costs to around 1% or less and operate on a continuous, near-instant basis.
As a result, Fuze projects that between 7% and 15% of remittance flows from the Middle East could be conducted via stablecoins by the end of the decade. The outlook aligns with estimates from PwC, which expects stablecoin-linked financial services in the Gulf Cooperation Council to grow at an annual rate of more than 30%.
Regulatory momentum remains a critical factor underpinning this expansion. Authorities across the region have taken an increasingly proactive approach to licensing and oversight, helping to build confidence among businesses and consumers alike.
“Trust is essential for any financial system to scale,” Yusuf said. “The regulatory clarity emerging across the Middle East is enabling innovation while safeguarding users. Over the course of 2026, people and businesses will begin to experience tangible changes in how money moves—faster, cheaper, and more efficiently than before.”
Fuze, which provides regulated infrastructure for crypto, stablecoin, and digital payments solutions, said it expects adoption to accelerate as enterprises integrate virtual assets into everyday financial operations.
With tokenization, payments, and remittances converging, the firm sees the region entering a new phase of financial modernization.
For the full report, click here.
