Saudi Tokenisation 2026: Regulatory Framework, Institutional Infrastructure, and the Path to Scale
Overview
Saudi Arabia is constructing a tokenisation framework that reflects the Kingdom’s broader approach to economic modernisation: methodical, well-capitalised, and designed for institutional scale rather than first-mover advantage. The Capital Market Authority’s evolving digital asset regulatory framework, SAMA’s fintech licensing expansion, and Tadawul’s blockchain integration initiatives collectively signal that the largest economy in the Middle East is preparing for a structured entry into the tokenised securities market.
This analysis examines the current state of Saudi tokenisation at the outset of 2026, with particular attention to the regulatory architecture under construction, the institutional infrastructure being upgraded, and the strategic imperatives — anchored in Vision 2030 — that are driving the Kingdom’s approach.
Regulatory Architecture
Capital Market Authority (CMA)
The CMA is the primary regulator for tokenised securities in Saudi Arabia. Its approach draws on international frameworks — notably the UK FCA’s classification system, the EU’s MiCA structure, and elements of the Swiss DLT Act — while adapting these models to the Kingdom’s legal system and market structure.
Key regulatory developments include the establishment of a digital asset classification framework that distinguishes between security tokens, utility tokens, and payment tokens; the creation of a licensing regime for digital asset platforms that mirrors the CMA’s existing authorisation framework for conventional securities intermediaries; and the development of custody standards for digital assets held on behalf of institutional investors.
Saudi Arabian Monetary Authority (SAMA)
SAMA’s role in the tokenisation ecosystem operates through three channels: fintech licensing, payments infrastructure, and CBDC research. The Fintech Saudi initiative has processed over 34 applications through its regulatory sandbox, several involving blockchain-based payment and settlement solutions. SAMA’s Aber project — a bilateral CBDC experiment with the UAE Central Bank — provided foundational research that informs current thinking on wholesale CBDC architecture for tokenised securities settlement.
Sharia Compliance
Any tokenised instrument seeking broad institutional adoption in Saudi Arabia must satisfy Sharia compliance requirements. This is not a marginal consideration — Sharia-compliant assets represent a substantial portion of Saudi institutional capital. The development of Sharia standards for tokenised securities, led by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) with input from Saudi scholars, is a critical enabling condition for the Kingdom’s tokenisation market.
Infrastructure Modernisation
Tadawul
The Saudi Exchange (Tadawul) is the largest exchange in the Middle East by market capitalisation, with listed companies valued at over $2.5 trillion. Tadawul’s technology modernisation programme includes blockchain integration for post-trade settlement, which would make it the first major Middle Eastern exchange to offer DLT-based clearing and settlement for tokenised securities.
Edaa
Edaa — Tadawul’s securities depository — is upgrading its custody infrastructure to support digital asset safekeeping. The integration of blockchain-native custody with Edaa’s existing securities depository functions will provide the institutional-grade custody layer that tokenised securities require for broad adoption.
Strategic Drivers
Vision 2030’s economic diversification mandate creates structural demand for tokenisation. The Kingdom’s objective to develop deep, liquid capital markets that attract international investment aligns naturally with tokenised securities’ promise of broader access, faster settlement, and reduced intermediary cost. PIF portfolio companies — valued collectively in the hundreds of billions — represent a tokenisation pipeline that dwarfs any comparable sovereign-linked opportunity in the region.
Competitive Positioning
Saudi Arabia’s tokenisation strategy is not designed to compete with Dubai on speed or regulatory flexibility. It is designed to compete on scale, institutional depth, and integration with the largest capital market in the Middle East. When the CMA’s framework is finalised, the combination of Tadawul’s exchange infrastructure, SAMA’s payments capability, and the depth of Saudi institutional capital will create a tokenised securities market of a different order of magnitude from what Dubai or Abu Dhabi can offer.
Outlook
The Saudi tokenisation market is positioned to reach $5-10 billion by 2030, contingent on the CMA publishing its definitive digital asset regulatory framework within the next 12-18 months. The infrastructure is being built. The institutional demand exists. The regulatory framework is the catalyst.
Donovan Vanderbilt, The Vanderbilt Portfolio AG, Zurich. March 2026.