Sovereign Wealth Funds Boost Bitcoin Exposure
The Abu Dhabi Investment Council (ADIC) significantly increased its holdings in Bitcoin Exchange Traded Funds (ETFs), according to a filing dated September 30, 2025, Bloomberg reports. ADIC reported holding 8 million shares of BlackRock’s iShares Bitcoin Trust, a position valued at approximately $518 million at the time of the filing.
Mubadala, the parent company of ADIC, also holds a substantial stake in the same ETF, possessing another 8.7 million shares. Cumulatively, these two prominent institutions control over 16 million shares of the iShares Bitcoin Trust, which currently stands as the largest crypto ETF globally, managing assets exceeding $70 billion.
ADIC's decision to triple its position in the ETF occurred in late September, approximately one month prior to a notable market downturn. Bloomberg further highlighted that the council views Bitcoin as a form of digital gold, utilizing it as a strategic asset for long-term portfolio diversification.
United Arab Emirates Deepens Its Crypto Strategy
The United Arab Emirates is actively expanding its footprint within the digital asset landscape. Mubadala, in particular, has been progressively increasing its exposure to cryptocurrencies. The fund has recently introduced new investment vehicles, including MGI X, which has successfully completed deals with major industry players such as Binance. Mubadala views digital assets as a crucial component of its long-term strategic asset allocation.
This concerted activity by UAE institutions serves to strengthen the legitimacy and adoption of cryptocurrencies within the Middle East and North Africa (MENA) region. State-owned funds in the UAE continue to allocate substantial capital to digital assets, underscoring the strategic importance of this evolving sector.
UAE Among Top Government Bitcoin Holders
Data from Arkham indicates that the UAE ranked as the fourth-largest government entity holding Bitcoin as of late August. The analytics platform identified approximately $740 million worth of Bitcoin linked to the country.
A significant portion of these holdings, around $700 million, originates from Bitcoin mining operations managed by Citadel. These operations are reportedly under the control of the Royal Group through its subsidiary, the International Holding Company (IHC).
The UAE is actively positioning itself as a leading global hub for cryptocurrency and blockchain technology. The nation hosts significant industry events, attracts major exchanges, and fosters a regulatory environment supportive of digital assets. Furthermore, blockchain technology is being progressively integrated into various government systems across the country.