Why the Dubai developer behind the Burj Khalifa is launching a digital token

Emaar Properties' token will be used throughout the company's vast holdings as part of a loyalty program

Mohamed Alabbar, chairman of Emaar Properties (Credit: Getty)
Mohamed Alabbar, chairman of Emaar Properties (Credit: Getty)

One of the largest developers in the United Arab Emirates plans to launch a loyalty program powered by blockchain technology.

Dubai-based Emaar Properties, which developed the Burj Khalifa skyscraper, said an initial coin offering in Europe will be considered within a year of its internal launch of its blockchain platform and community token, Arabian Business reported. Lykke, a Swiss-based online marketplace, is building the platform, which is based on the Ethereum blockchain and the ERC20 token framework.

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Emaar’s community token will be accepted throughout the company’s various holdings in real estate, malls, hospitality, entertainment, facilities management and online shopping. The company’s assets are reportedly worth nearly $10 billion.

Emaar is partially owned by the Al Maktoum family, the royal ruling family of Dubai. In 2018, Emaar’s shares dropped 39 percent, amounting to the company’s lowest price-to-earnings ratio in about a decade. [Arabian Business] – Katherine Kallergis