Bitcoin News Today: The UAE Mines Its Way to a $700M Bitcoin Stash

Generated by AI AgentCoin World
Tuesday, Aug 26, 2025 2:16 am ET2min read
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Aime RobotAime Summary

- UAE government holds $700M in Bitcoin mined via state-backed Citadel Mining, ranking sixth globally in sovereign holdings.

- Citadel Mining, 85% owned by UAE-linked 2pointzero, operates Abu Dhabi facility with Phoenix Group, aligning royal and state interests in crypto.

- Unlike seizure-based holdings in US/UK, UAE's mining strategy supports its digital economy goals, contrasting with global approaches like Bhutan's purchases.

- Sovereign entities collectively hold 2.4% of Bitcoin supply ($56B+), while individual holdings by figures like Satoshi Nakamoto exceed state reserves.

The United Arab Emirates holds approximately $700 million in

Bitcoin
, primarily mined through its state-backed operations, according to blockchain analytics firm Arkham Intelligence. The UAE government’s Bitcoin wallet addresses hold about 6,300 Bitcoin (BTC), mined through Citadel Mining, a company majority-owned by the UAE government-linked International Holding Company (IHC) [1]. Unlike the U.S. and the U.K., whose holdings largely result from police asset seizures, the UAE’s acquisition comes from mining operations, making it a unique player in the global Bitcoin landscape [2].

Arkham identified Citadel Mining as a public miner that constructed a Bitcoin mining facility in Abu Dhabi in 2022 in collaboration with the publicly traded mining company Phoenix Group and IHC [1]. The firm corroborated the timeline of on-chain mining activity with satellite imagery of the facility’s construction and noted matching transaction amounts between Phoenix and Citadel as per official reports [1]. Through Citadel, the UAE is estimated to have mined a total of 9,300 BTC, significantly contributing to the nation’s growing crypto portfolio [1].

Citadel Mining is 85% owned by 2pointzero, a firm controlled by IHC, which in turn is partially owned by the UAE Royal Group, a conglomerate linked to Abu Dhabi’s royal family [1]. This connection highlights the strategic alignment of the UAE’s government and royal interests with Bitcoin mining as a key component of the country’s broader digital economy strategy [2]. The UAE has actively pursued a pro-crypto regulatory environment, particularly in Dubai, positioning itself as a regional hub for blockchain innovation and fintech development [2].

In the global context, the UAE ranks sixth in Bitcoin holdings among nations, according to data from BitBo. Bhutan holds the largest sovereign Bitcoin stash with 11,286 BTC, followed by the U.S. (198,012 BTC), China (194,000 BTC), the U.K. (61,245 BTC), and El Salvador (6,246 BTC) [1]. The U.S. remains the largest nation-state Bitcoin holder, with most of its holdings acquired through criminal seizures, while China’s holdings are largely from the 2019 crackdown on the PlusToken scam [1]. The UAE’s approach of mining rather than seizing Bitcoin adds a distinct dimension to its national crypto strategy [2].

BitBo estimates that sovereign entities collectively hold about 517,000 BTC, representing 2.4% of the total supply, with an aggregate value exceeding $56 billion [1]. Meanwhile, individual and corporate Bitcoin holdings continue to rival and often exceed those of nation-states. Satoshi Nakamoto is believed to hold 1.096 million BTC, while Michael Saylor’s company holds 629,376 BTC, or 2.9% of the total supply [1]. As the global appetite for Bitcoin grows, governments are increasingly integrating it into their strategic financial planning, either through mining, seizures, or direct purchases [2].

Source:

[1] UAE reportedly holds $700M in mined Bitcoin: Arkham (https://cointelegraph.com/news/uae-ranks-sixth-in-bitcoin-holdings-with-700m-stash)

[2] UAE owns $700M Bitcoin through mining firm Citadel ... (https://www.cryptopolitan.com/uae-owns-700m-bitcoin-through-citadel-firm/)