Dubai VARA Approves Laser Digital’s Tokenized Fund, Ushering Institutional-Grade RWA Era

Dubai’s Virtual Assets Regulatory Authority (VARA) has granted in-principle approval to Laser Digital, the digital assets arm of Nomura Group, to tokenize its flagship Laser Carry Fund (LCF) on the KAIO blockchain.

This approval launches the first institutional-grade real-world asset (RWA) tokenized product under the VARA pilot ARVA Framework.

The Tokenized Laser Carry Fund (TLCF) will be available exclusively to institutional investors meeting VARA’s criteria.

Each TLCF token offers exposure to tokenized units of the Laser Digital Carry Fund SP, a Cayman Segregated Portfolio, with Komainu appointed as the VARA-licensed custodian.

The tokens will be tradable on selected VARA-approved secondary market crypto exchanges, enabling liquidity and composability for institutional investors.

Institutional Real-World Asset Tokenization Takes Off

Laser Digital's CEO Jez Mohideen emphasized the significance of the approval: “This is a crucial step in responsibly delivering institutional-grade and composable RWA products to investors under robust governance and investor policies.”

The fund tokens can be subscribed and redeemed in designated windows, with token pricing linked to the fund’s net asset value.

TLCF is set to pioneer a series of VARA-regulated RWA asset management tokens, expanding institutional asset management offerings on blockchain.

This move by Laser Digital marks a major validation of Dubai’s regulatory framework for real-world asset tokenization, supporting the region’s leadership in blending traditional finance with crypto innovations.

KAIO’s blockchain infrastructure and Komainu's custody solution combine regulatory compliance and technical sophistication to foster market confidence.

Expanding the MENA Region’s Tokenized Asset Ecosystem

Earlier in 2025, QNB Group, Standard Chartered, and DMZ Finance jointly launched the Dubai International Financial Centre’s first regulated tokenized money market fund, QCD Money Market Fund (QCDT).

QNB Group, the largest bank in the Middle East and Africa, manages the fund, with Capricorn Fund Managers as fund manager and Standard Chartered providing custody.

Bybit exchange further boosted utility by allowing QCDT as collateral, unlocking $1 billion in institutional borrowing capacity.

Meanwhile, Bahrain’s ATME crypto exchange, licensed by the Central Bank of Bahrain, debuted a regulated tokenized investment product platform that enables brokers and asset managers to issue and trade tokenized investment products.

Arabian Gulf Capital was the first to launch a fixed income tokenized portfolio, selling out rapidly under full regulatory approval, simplifying market access and compliance.

These developments underscore strong momentum in the MENA region toward regulated tokenization of financial products, enhancing investment flexibility while maintaining governance.

Nasdaq-listed DeFi Technologies’ recent entry to the UAE market with tokenized equities and digital asset ETPs further validates the regional growth trajectory.

Dubai VARA’s approval of Laser Digital’s tokenized fund and the region-wide adoption of tokenized assets signal a new era.

Where institutional-grade RWAs become seamlessly accessible on blockchain, poised to reshape the future of finance in the Middle East.