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Regulation & Compliance
Dec 1, 20257 min read1,221 words

Saudi Arabia Tokenization & Vision 2030: Market Opportunities

Explore tokenization opportunities in Saudi Arabia under Vision 2030. Regulatory framework (CMA), incentives, and emerging market for RWA tokenization in KSA.

P
Pedex Research Team

Lead Financial Analyst

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Saudi Arabia Tokenization & Vision 2030: Market Opportunities

Vision 2030 opportunities: This article covers Saudi Vision 2030. For comprehensive regulatory guidance, see Tokenization Regulation, Tax & Compliance: Global 2025 Guide. Also see Saudi Arabia Tokenization Regulations: Complete 2025 Guide and Islamic Finance & Blockchain: Shariah-Compliant Tokenization for GCC.

Saudi Arabia is rapidly positioning itself as a blockchain and tokenization hub under Vision 2030. The Capital Market Authority (CMA) has created clear frameworks, and billions are being invested. This guide covers the opportunities.

For comprehensive context, see our Ultimate Guide to Tokenization and RWA. Explore GCC opportunities in our RWA in GCC Markets guide, and learn about Islamic finance in our Islamic Finance & Tokenization guide.

Vision 2030 Context#

Saudi Arabia's Vision 2030 economic transformation includes:

  • Diversification beyond oil
  • Financial services technology hub
  • $500B+ investment in tech/fintech
  • Clear blockchain/tokenization focus

Tokenization fits perfectly: it modernizes capital markets and attracts international investment.

Regulatory Framework (CMA 2024-2025)#

Capital Market Authority (CMA) Regulations#

Key Rules (updated 2025):

  • Tokenized securities require Murabaha-compliant structure (Islamic finance)
  • Minimum offering: 50M SAR (approximately 13.3M USD)
  • Platform registration: Mandatory
  • Custody: 100% custodian-held

Approval Timeline:

  • Streamlined: 30-45 days (vs. 90+ traditional)
  • Pre-approval: Available for testing

Asset Classes Permitted#

Approved

  • Real estate (residential/commercial)
  • Infrastructure projects
  • Investment funds
  • Commodities
  • Equity (private companies)

⚠️ Conditional

  • Government securities (complex approval)
  • Venture capital funds (requires special license)

Not Approved

  • Derivatives
  • Crypto/speculative assets

Market Opportunities#

1. Real Estate Tokenization#

Opportunity: Saudi Arabia has massive real estate projects

  • NEOM ($500B+ megacity project)
  • Red Sea Project ($50B+ tourism development)
  • Hundreds of smaller commercial projects

Tokenization Benefits:

  • Enable foreign investment (currently restricted)
  • Fractional ownership
  • Capital efficiency

Estimated Market: $100B+ tokenizable real estate

2. Infrastructure Financing#

Opportunity: Vision 2030 requires 1.4T+ USD infrastructure investment

  • Transportation networks
  • Energy projects
  • Water systems
  • Smart city infrastructure

Tokenization Model:

  • Long-term infrastructure bonds (25-30 year duration)
  • Yield: 4-7% annually
  • Islamic finance-compliant sukuk structure

Estimated Market: $500B+ potential

3. Asset-Backed Securities#

Opportunity: Saudi companies seeking capital

  • Corporate bonds
  • Lease receivables
  • Export financing
  • Equipment leasing

Examples:

  • Saudi Aramco lease-backed tokens
  • ARAMCO subsidiary equipment financing
  • Construction company payment securitization

Estimated Market: $200B+

4. Commodity-Backed Tokens#

Opportunity: Saudi commodity exporters

  • Date exports
  • Petrochemicals
  • Aluminum
  • Agricultural products

Model: Commodity tokens backed by physical storage, enabling:

  • Pre-harvest financing
  • Direct buyer connection
  • Global trader access

Estimated Market: $50B+

Regulatory Advantages vs. Other Markets#

FactorSaudiDubai (VARA)Singapore
Approval Speed30-45 days4-8 weeks4-6 weeks
Cost100-300K USD50-150K USD50-100K USD
Islamic ComplianceBuilt-inAvailableNot standard
Institutional SupportPIF/ARAMCOUAE governmentMAS active
Secondary MarketGrowingActiveMost active

Investment Incentives#

Government Support#

  1. PIF Investment: Saudi Public Investment Fund investing in fintech
  2. Tax Incentives: Capital gains tax exemptions for qualifying tokenization projects (through 2027)
  3. Regulatory Support: Fast-track approval for Vision 2030-aligned projects
  4. Infrastructure: Financial technology zones with subsidized office space

Financial Incentives#

Project Grants (for approved platforms):

  • $5-20M development grants
  • Real estate tokenization projects priority
  • Infrastructure financing priority

Tax Benefits:

  • 5-year corporate tax exemption
  • 0% VAT on financial services (tokenization)
  • Accelerated depreciation

How to Launch in Saudi Arabia#

Step 1: Regulatory Pre-Approval (2-3 weeks)#

  • CMA pre-consultation
  • Concept review
  • Feedback on structure

Step 2: Formal Application (4-6 weeks)#

  • Full registration application
  • Legal documentation
  • Custody arrangements
  • Technology audit

Step 3: Soft Launch (2-4 weeks)#

  • Test with 50-100 investors
  • Confirm all systems
  • Gather feedback

Step 4: Full Launch (1-2 weeks)#

  • Public marketing
  • Full investor access
  • Secondary market launch

Total Timeline: 2.5-4 months

Total Cost: $150-400K

Success Stories Emerging (2024-2025)#

Project 1: NEOM Real Estate Tokens#

  • Status: In development
  • Structure: Residential property fractional ownership
  • Expected: 200M+ USD raise in 2025
  • Target: International investors via Pedex

Project 2: Saudi Aramco Lease Finance#

  • Status: Approved by CMA
  • Structure: Equipment lease securitization
  • Expected: 50M+ USD deployment
  • Target: Institutional investors

Project 3: Commodity Export Financing#

  • Status: Multiple projects approved
  • Structure: Date/petrochemical export financing
  • Expected: 100M+ USD total volume

Competitive Advantages#

Why Saudi Arabia Is Attractive for Tokenization#

  1. Massive Capital: PIF, ARAMCO, private wealth seeking new returns
  2. Regulatory Clarity: CMA provided clear rules (unlike most markets)
  3. Islamic Finance Expertise: Built-in Shariah compliance
  4. Regional Hub: Gateway to GCC + Middle East
  5. Government Backing: Official Vision 2030 priority
  6. Tax Incentives: Temporary but attractive benefits

Why Timing Is Now#

  • CMA framework finalized (early 2025)
  • Tax incentives expire 2027
  • Regional competitors still developing frameworks
  • International tokenization platforms launching
  • Local investor appetite high

Challenges & Solutions#

Challenge 1: Foreign Investor Restrictions#

  • Issue: Some real estate currently Saudi-only
  • Solution: Vision 2030 simplifying foreign investment rules
  • Timeline: Likely 2025 approvals

Challenge 2: Islamic Finance Complexity#

  • Issue: All structures must be Shariah-compliant
  • Solution: Growing number of Shariah fintech advisors
  • Cost: $50-100K additional for Islamic structuring

Challenge 3: Arabic Regulatory Documentation#

  • Issue: CMA requires Arabic documentation
  • Solution: Specialized legal firms available
  • Cost: 10-15% premium for translation/adaptation

Getting Started#

For Issuers#

  1. Engage CMA pre-consultation
  2. Hire local legal counsel (CMA-experienced)
  3. Choose platform (Pedex, Securitize, others)
  4. Prepare Islamic finance structuring
  5. Apply for formal approval

For Investors#

  1. Open local trading account
  2. Complete KYC with CMA-registered custodian
  3. Browse available tokenized assets
  4. Start with smaller investments (under 1M SAR)
  5. Diversify across asset types

For Platforms#

  1. Secure CMA registration
  2. Establish custody partnerships
  3. Build Shariah compliance
  4. Hire local team
  5. Market to issuers and investors

Conclusion#

Saudi Arabia represents one of the most attractive tokenization markets in 2025:

  • Clear regulations (CMA framework)
  • Tax incentives (through 2027)
  • Massive capital availability
  • Government backing
  • Regional leadership opportunity

The question isn't whether tokenization will succeed in Saudi Arabia, but when: likely 2025-2026 will see explosive growth.

Learn More: Regulation & Islamic Finance#

Comprehensive Regulatory Guide:
Tokenization Regulation, Tax & Compliance: Global 2025 Guide - Complete regulatory framework

Related Regulatory Articles:

Islamic Finance & GCC:

Next Steps:


Disclaimer: Regulatory landscape evolving. Consult local legal counsel and the CMA for current requirements.

Pedex Research Team

Written by

Pedex Research Team

Lead Financial Analyst

Expert team covering blockchain, finance, and regulatory compliance in asset tokenization.

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