Dubai Approves First Tokenized Money Market Fund

The Dubai Financial Services Authority (DFSA) has given the green light to the QCD Money Market Fund (QCDT), making it the first officially approved tokenized money market fund within the Dubai International Financial Centre (DIFC).

The project is a strategic collaboration between Qatar National Bank (QNB) and DMZ Finance, marking a major step forward in the region’s efforts to integrate digital assets into mainstream financial infrastructure.

According to a statement released Monday, DMZ Finance will oversee the fund’s tokenization layer and provide the supporting blockchain technology, while QNB will take charge of managing fund origination and investment strategy.

The initiative is part of a broader effort to modernize financial services in the Middle East through asset tokenization and smart contract integration.

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Multi-purpose financial infrastructure for digital finance

QCDT is designed with versatility in mind, aiming to meet the needs of a wide range of institutional players. Banks can use the fund as eligible collateral in credit and settlement frameworks, while centralized cryptocurrency exchanges can adopt it as mapped collateral for tokenized trading environments. The fund’s tokenized structure also makes it suitable for backing stablecoin reserves and supporting the transactional foundation for emerging Web3 payment systems.

The fund’s approval signals growing regulatory confidence in blockchain-powered financial products and opens the door for more tokenized instruments to enter regulated markets across the Gulf region.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.