- peaq and Pulsar Group launched a Sandbox in Dubai for integrating robotics, AI, and decentralized technology.
- The Machine Economy Free Zone will support development and testing of machine-driven, blockchain-based applications.
- The initiative aims to attract developers, businesses, and government entities seeking to build decentralized infrastructure networks.
- Projects include air quality monitoring, weather forecasting, virtual power plants, and noise pollution tracking using community devices.
- The UAE continues to advance tokenization and real-world asset (RWA) adoption with new regulatory frameworks and real estate transactions on blockchain.
peaq, a layer-1 blockchain platform, and the Pulsar Group, an Abu Dhabi-based advisory firm, have introduced a sandbox environment in Dubai to test the use of robotics and Artificial Intelligence within decentralized systems. The “Machine Economy Free Zone” offers a controlled space for developers, businesses, and government stakeholders to experiment with new applications in the machine economy.
The free zone brings together regulation, technological infrastructure, and investment resources, focusing on decentralized physical infrastructure networks, known as DePINs. Max Thake, co-founder of peaq, said the zone supports “a human-centric economy where autonomous robots, machines and devices create value, earn and trade.” He also noted the initiative targets those building in the Depin and machine economy sectors, offering more specific support than general economic free zones.
Examples of projects collaborating with Emirati partners include community-based air quality tracking using wearable devices, hyperlocal weather forecasting, a community-run virtual power plant, and noise pollution monitoring via smartphones. According to the World Economic Forum, the DePIN sector could reach $3.5 trillion by 2028, driven by growth in blockchain and artificial intelligence.
The sandbox also enables the exploration of machine tokenization, where blockchain-based systems allow tokenholders to earn revenue from specific machine activities. Thake offered an example: “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.” The free zone’s Universal Basic Ownership (UBO) system aims to distribute income generated by autonomous systems to individuals affected by automation.
Dubai’s commitment to blockchain adoption includes new regulations for bringing real-world assets onchain. The Dubai Land Department, Dubai Future Foundation, and the Central Bank of the United Arab Emirates recently launched the region’s first licensed tokenized real estate project. Tokenized asset transactions in Dubai have already reached the billions of dollars, with regulatory oversight from Dubai’s Virtual Asset Regulatory Authority (VARA).
For more analysis of DePIN trends, see data at Depinscan.io.
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