According to Odaily, Zand Bank, a digital bank authorized by the Central Bank of the United Arab Emirates, has announced a Memorandum of Understanding (MOU) with MANTRA, a Layer 1 blockchain focused on Real World Assets (RWA). The collaboration between the two entities will primarily focus on the development of a framework to support the tokenization and distribution of RWA.
The partnership will adhere to the regulations set by the Dubai Virtual Asset Regulatory Authority (VARA). The MOU signifies a significant step towards integrating blockchain technology into the banking sector, particularly in the area of asset tokenization. This collaboration is expected to enhance the efficiency and transparency of asset management, in line with the regulations of VARA.
Further details about the partnership or the specific projects to be undertaken were not disclosed. The announcement marks a significant milestone in the adoption of blockchain technology in the financial sector, particularly in the UAE. It also highlights the growing interest in the tokenization of real-world assets, a trend that is expected to continue in the coming years.