Qatar Aims to Lead the Global Tokenisation Market by 2030

Qatar is positioning itself to become a leading player in the global tokenisation landscape, with projections suggesting that the tokenisation market could reach $16 trillion by 2030. The Qatar Financial Centre has partnered with Global Stratalogues and the Global Blockchain Business Council to produce a report that outlines the regulatory and infrastructural priorities for unlocking the full potential of tokenising real-world assets.

Tokenisation, the process of converting assets into digital tokens on a blockchain, is gaining momentum worldwide. According to estimates from Boston Consulting Group and ADDX, tokenisation could make up approximately 10% of global GDP by the end of the decade. This is driven by the increasing interest from both institutional and retail investors in the ability to digitise traditional assets like real estate, commodities, and financial securities.

The QFC’s report, "From Regulation to Realisation: Shaping the Future of Digital Assets," was developed following the inaugural Digital Assets Policy Roundtable, held in Doha alongside the Qatar Economic Forum earlier this year. The roundtable brought together regulators, financial executives, and industry experts from multiple jurisdictions to discuss the necessary steps for enabling a tokenised economy.

At the core of the report are several key recommendations for regulatory frameworks that would facilitate the growth of tokenisation while maintaining market integrity and investor protection. One of the major points discussed during the roundtable was the need for a balanced regulatory approach that encourages innovation without compromising security or trust. This would require clear guidelines for asset-backed tokens and standardised measures for risk management, ensuring that tokenisation does not become a tool for speculative practices.

Qatar's efforts to be at the forefront of this evolving market come as the country continues to bolster its status as a financial and economic hub in the Middle East. The QFC has already established itself as a robust regulatory body for the financial sector, and it is now looking to extend its influence in the digital assets space. With the backing of global firms such as the GBBC, Qatar’s commitment to becoming a leader in digital asset regulation and infrastructure is unmistakable.

The report stresses the importance of international collaboration in creating a global framework for tokenisation. As tokenisation is a cross-border issue, establishing standards that are consistent across jurisdictions will be crucial for its widespread adoption. Participants in the roundtable highlighted the necessity for multilateral agreements on issues such as data privacy, anti-money laundering regulations, and know-your-customer standards, which will help prevent misuse of tokenisation technology.

In addition to regulatory concerns, the infrastructure needed to support a tokenised economy is a key focus of the report. The authors note that a secure and scalable infrastructure will be critical to the success of tokenisation initiatives. This includes not only the development of blockchain platforms capable of handling the complexities of asset-backed tokens but also the creation of financial products that can be traded and settled in a tokenised form. Qatar has already made strides in this direction, with the QFC’s support of several blockchain and fintech startups, signalling a growing interest in digital financial technologies.

The report also highlights the role of education and public awareness in ensuring the long-term success of tokenisation. As the market for tokenised assets continues to grow, there is a pressing need to educate both investors and the general public about the opportunities and risks associated with these digital assets. Ensuring that the workforce has the necessary skills and knowledge to manage and trade tokenised assets will be key to the smooth transition into a more digital financial ecosystem.

For Qatar, positioning itself as a global leader in tokenisation is not only about capitalising on a new financial market but also about attracting foreign investment and establishing itself as a forward-thinking jurisdiction for digital innovation. The country’s emphasis on regulatory clarity, infrastructure development, and international collaboration could make it an attractive destination for businesses and investors looking to tap into the potential of the tokenised economy.