Peaq and UAE Bet on Tokenized Machines to Power Future Economy

Why Robots Might Just Steal Your Job (and Your Coffee) ☕🤖

In a world where the sun rises over the golden sands of the United Arab Emirates, a curious alliance has formed between the layer-1 blockchain peaq and the Pulsar Group. Together, they have birthed a sandbox—a veritable playground for the curious minds eager to explore the integration of robotics and artificial intelligence within a decentralized economy. Who knew that the future would look like a sci-fi movie set in the desert? 🌵

They have conjured up a Machine Economy Free Zone in Dubai, a place where regulation, infrastructure, and investment dance together in a harmonious ballet, all in the name of advancing the machine economy. It’s like a tech-savvy utopia, but with fewer flying cars and more robots trying to sell you coffee.

This initiative is not just a whimsical dream; it is a carefully crafted environment for developers, businesses, and government stakeholders to test and develop applications that could very well change the fabric of our existence. Yes, we’re talking about decentralized physical infrastructure (DePIN) networks—because who doesn’t want to live in a world where machines run the show?

Max Thake, the co-founder of peaq, shared his vision with CryptoMoon, describing the free zone as a “human-centric economy where autonomous robots, machines, and devices create value, earn, and trade.” Sounds like a fancy way of saying, “Hey, robots are taking over, and we’re all invited to the party!” 🎉

Thake insists that this free zone is designed to attract builders in the DePIN and machine economy industries, making it more comprehensive than other economic free zones, which, let’s be honest, are often as exciting as watching paint dry.

In partnership with the Pulsar Group, an Abu Dhabi-based advisory firm, this initiative is set to revolutionize the tech and digital economy. When asked about the DePINs sprouting up on peaq that could be deployed in the UAE, Thake rattled off a list of projects that sound like they belong in a futuristic novel.

These include community-powered air quality monitoring through wearable devices (because who doesn’t want to know how polluted their air is?), hyperlocal weather forecasting (goodbye, unreliable weather apps!), a virtual power plant made up of community-owned devices that support grid flexibility, and the use of smartphones to measure local noise pollution. Yes, folks, we’re measuring noise pollution with our phones—what a time to be alive!

Once a niche blockchain use case, DePINs are now gaining mainstream attention. The market could reach a staggering $3.5 trillion by 2028, driven by advances in blockchain technology and artificial intelligence, according to the World Economic Forum. So, if you’re not on board yet, you might want to hop on the bandwagon before it leaves without you!

Peaq and UAE Collaboration

The Rise of RWA Tokenization in the UAE

The UAE sandbox is not just a place for fun and games; it enables comprehensive development and testing of machine tokenization applications. Thake describes these systems as rewarding tokenholders with a share of the revenue generated by specific machine activities. It’s like getting paid for doing absolutely nothing—what a dream!

“Let’s take an autonomous robo-cafe, for example. The cafe sells coffee, processing transactions digitally, and can report this data onchain for transparency. Tokenizing it could mean rewarding tokenholders for each cup the robot sells.”

Tokenization also supports the free zone’s Universal Basic Ownership (UBO) system, which directs wealth generated by robots and autonomous agents to individuals displaced from those jobs. Because nothing says “I care” like giving money to those who lost their jobs to robots, right?

“The concept is still in its early stages, but the Machine Economy Free Zone in the UAE is the ideal testbed,” said Thake, probably while sipping a latte made by a robot.

The UAE has become a key hub for tokenization, with Dubai’s Virtual Asset Regulatory Authority (VARA) updating its framework for bringing real-world assets (RWAs) onchain. As a result, tokenized asset activity has grown rapidly in areas like Dubai, where blockchain-based real estate transactions have reached billions of dollars. Yes, you heard that right—billions!

This came as the Dubai Land Department, the Dubai Future Foundation, and the Central Bank of the United Arab Emirates launched the region’s first licensed tokenized real estate project. Because if you can’t buy a house with a robot, what’s the point?

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2025-06-11 19:45

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