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The United Arab Emirates (UAE) has emerged as the fourth-largest government holder of
, with reserves amounting to 6,300 Bitcoin (BTC), valued at approximately $740 million as of August 2025 [3]. Unlike many other governments that acquire Bitcoin through purchases or seizures, the UAE’s holdings were obtained through direct mining operations led by Citadel Mining, a publicly listed company majority-owned by Abu Dhabi’s Royal Group via the International Holding Company (IHC) [3]. This approach highlights the UAE’s strategic focus on leveraging its energy infrastructure and regulatory framework to establish a sovereign Bitcoin treasury.The UAE’s entry into the top four global government Bitcoin holders places it alongside the United States, China, and the United Kingdom. According to blockchain analytics firm Arkham Intelligence, the UAE’s Bitcoin holdings have been identified through publicly linked addresses controlled by Citadel Mining [4]. These reserves are a result of state-backed mining efforts, which have been bolstered by strategic partnerships, including with Phoenix Group, a leading mining and blockchain infrastructure provider [4]. This direct mining approach aligns with the UAE’s broader economic diversification strategy and reinforces its growing influence in the
sector.In addition to mining, the UAE has expanded its Bitcoin strategy by investing $534 million in a Bitcoin exchange-traded fund (ETF), further demonstrating its commitment to integrating digital assets into its financial portfolio [3]. The dual strategy—mining reserves and investing through regulated financial instruments—positions the UAE as a proactive participant in the global adoption of Bitcoin. This approach contrasts with other nations like El Salvador, which has pursued Bitcoin through daily purchases and legal tender adoption, and the United States, which holds a strategic Bitcoin reserve primarily acquired through criminal asset seizures [2].
The UAE’s Bitcoin reserves are not only a financial asset but also a strategic tool in its global economic positioning. By controlling a significant portion of the Bitcoin supply through mining, the UAE enhances its role in the global crypto infrastructure landscape. This move could set a precedent for other Middle Eastern and global governments to consider state-backed mining and digital asset treasuries as part of their economic diversification strategies [4]. The region has already seen increased interest in blockchain innovation, with both Abu Dhabi and Dubai hosting major crypto exchanges, investment funds, and regulatory initiatives.
The growing interest in Bitcoin among governments signals a broader shift in how digital assets are perceived and utilized in sovereign economic planning. The UAE’s strategic accumulation of Bitcoin through mining underscores a trend in which nations are seeking to future-proof their economies by integrating digital currencies into their financial reserves [3]. This development aligns with global movements, including the U.S. BITCOIN Act, which proposes the acquisition of up to 200,000 BTC annually over five years [1]. As Bitcoin continues to evolve as a strategic reserve asset, the UAE’s approach offers a model for governments looking to leverage their infrastructure and regulatory environments to gain a competitive edge in the digital economy.
Source: [1] Top Government Bitcoin Holdings in 2025 (https://coinpedia.org/research-report/government-bitcoin-holdings-in-2025-who-owns-the-most/) [2] Top Government Bitcoin Holders: Who Leads the Pack? (https://www.ccn.com/news/crypto/bhutan-top-crypto-nations-full-list-of-countries/) [3] UAE Now Holds 6,300 Bitcoin, 4th-Largest in the World (https://coinpedia.org/news/uae-now-holds-6300-bitcoin4th-largest-in-the-world/) [4] UAE Becomes Fourth-Largest Government Bitcoin Reserve (https://coingape.com/uae-becomes-fourth-largest-government-bitcoin-reserve/)

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