In a luxury hotel in Dubai, it’s an ordinary day: guests are checking in, housekeepers are distributing linen, and the front desk is preparing to welcome a new group of tourists. But recently, this hotel has gained something special—847 co-owners from 23 countries who have never seen their property in person. They acquired digital shares through the ESTEX platform, and their rights are protected not by a traditional sales contract, but by a line of code in the blockchain. This isn’t science fiction—it’s the future model of ownership.
Translating Law into Code: How Lawyers Are Becoming Architects
“Imagine trying to explain the concept of ‘force majeure’ to a smart contract,” says Michael Wong, Lead Lawyer at ESTEX. “Our main challenge is translating vague legal terms into binary logic.”
The ESTEX team has developed a unique protocol for translating legal norms into code. This process requires a deep understanding of both traditional law and blockchain technologies. The platform’s lawyers work with programmers to create smart contracts that accurately reflect legal agreements. For example, the right to receive rental income is described in the smart contract as a clear distribution algorithm, where every aspect is defined with mathematical precision.
The Dubai Hotel: A Legal Puzzle
Consider the situation of tokenizing a premium hotel in Dubai. Such a deal faces several legal challenges:
- Conflict of Jurisdictions: The real estate is located in the UAE, the SPV might be registered in another country, and the investors are from different parts of the world.
- Inheritance Law: Differences in national legislations can create complexities when transferring digital assets via inheritance.
- Taxation: The status of digital assets often lacks clear definition in the tax codes of various countries.
Resolving such situations requires creating a cascade of agreements, where investor rights are recorded in a smart contract that interacts with traditional legal documents accounting for local legislation.
Inheriting Code: What Happens to Digital Assets After the Owner’s Death
“We encountered a unique case in Germany,” Wong shares. “A client passed away without leaving instructions for wallet access. Under German law, the heirs had to undergo a six-month probate procedure, but the smart contract continued to accrue income reliably.”
ESTEX.ORG had to develop an inheritance protocol where:
- Digital assets are recognized as property
- Wallet access is granted by court order
- The smart contract suspends operations for 180 days
International Courts and Digital Assets: The First Precedents
In the first quarter of 2025, the Singapore Arbitration Court, for the first time, recognized ESTEX’s digital tokens as legal proof of ownership in a case involving asset division between British and Japanese companies. This set an important precedent—tokenized assets can now participate in international disputes on par with traditional securities.
The Future: When Will Code Replace Lawyers?
“We are not replacing lawyers—we are giving them new tools,” comments Alexander Farrow. “In 10 years, standard sales contracts will be generated by algorithms, while lawyers will focus on complex cases and creating new legal models.”
ESTEX is already testing a system where smart contracts automatically adapt to changes in legislation across different countries, using machine learning to analyze legal databases.
The New Reality of Ownership
ESTEX’s hybrid model proves that the future lies not in opposing traditional law and blockchain, but in their symbiosis. Digital tokens are becoming a bridge between established legal systems and the new economy, where property rights can be verified by both traditional documents and cryptographic methods.
The hybrid model, combining SPVs and smart contracts, demonstrates that technological innovations can successfully integrate into existing legal frameworks, creating new opportunities for owning and managing assets on a global scale.