UAE Becomes Fourth-Largest Government Bitcoin Holder With $740M Reserve
Highlights
- UAE enters top four governments with $740M Bitcoin mining-based reserves.
- Citadel Mining powers the sovereign Bitcoin treasury in the UAE.
- UAE diversifies economy with Bitcoin that it mines, increasing its presence in the digital asset world.
The United Arab Emirates has emerged as one of the top global government Bitcoin holders. Its holdings are worth around $740 million at current market price.
UAE’s State-Backed Bitcoin Mining Pushes Nation Into Global Top Four
According to blockchain analytics firm Arkham, the UAE government now controls approximately 6,333 BTC through Citadel Mining, a public mining company it oversees.
Arkham Intelligence was the first to publicly identify the UAE Bitcoin addresses which it linked to Citadel Mining. Controlling shareholders in the company are owned by the UAE Royal Group predominantly through International Holding Company (IHC).
These holdings position the UAE as the fourth-largest government Bitcoin holder, behind the United States, China, and the United Kingdom. The United States has the largest Bitcoin reserve, estimated at up to $20 billion, followed by China and the United Kingdom.
Unlike countries where the bulk of the BTC is obtained through seizures by law enforcement agencies, the UAE amassed its reserves by directly mining the cryptocurrency. Such mining activities were developed together with Phoenix Group, a top mining and blockchain infrastructure company.
The decision indicates that UAE is putting in the efforts to make its mark in the digital assets industry. By storing Bitcoin that has been mined and not obtaining it in the markets or confiscated, the UAE is taking a different route concerning its cryptocurrency reserves. The plan lies in line with its wider aims of diversifying its economy.
Bitcoin mining in the UAE has been on the rise courtesy of favorable regulation as well as strategic tie ups. Citadel Mining, a company backed by the government, has become a cornerstone of this effort, providing both energy efficiency and operational scale. The UAE’s direct involvement also contrasts with El Salvador’s approach, which is focused on purchases and legal tender adoption.
UAE BTC Treasury Strengthens Role in Global Digital Asset Race
The news comes at a time when institutional and sovereign interest in Bitcoin is accelerating. U.S. authorities are still the biggest holders of BTC compared to any other government. They have seized over 200,000 BTC in criminal cases. Even though China has prohibited crypto trading, it still retains large deposits of confiscated Bitcoin, too.
The action of UAE may encourage other Middle Eastern states to consider Bitcoin mining and Bitcoin treasuries. This trend isn’t limited to the Middle East. Brazil recently announced plans to explore a strategic Bitcoin reserve.
The region has been seeking to position itself as a center of blockchain innovation. Both Abu Dhabi and Dubai host major exchanges, funds, and regulatory initiatives. This push towards Bitcoin treasury by the UAE points to a broader vision that could help overturn the definition of sovereign digital reserves.
The move means the UAE is now on a list of governments that have a high Bitcoin exposure. Besides, these holdings make it a more crypto-forward country.
- S&P Launches Crypto 50 Index But There’s A Catch
- NYSE Owner ICE to Invest $2B in Polymarket as Interest in Prediction Markets Heats Up
- Expert Predicts SOL ETF Approval This Week as Solana ETPs Break All-Time Record
- XRP On-Chain Data Flashes Buy Signal as Analysts Target $4
- U.S. To Start Funding Its Bitcoin Reserve Anytime, Says Senator Lummis as BTC Rally Extends
- Cardano Price Consolidates Below Key Resistance Ahead of ETF Verdict — Is a 50% Rally in Sight?
- Solana Price Eyes 56% Rebound Amid Solana Company’s Massive $530M SOL Acquisition
- Ethereum’s Price Bullish Cycle Resumes as Grayscale Launches Spot Staking ETPs – Is $7,331 Next?
- Pi Network Price Risky Pattern Points to Crash as 14M Coins Leave OKX
- Bitcoin Price Prediction as Exchange Reserves Hit 6-Year Low—Is $150K Within Reach?
- Dogecoin Price Rebounds 15% From Buy Zone as Whales Add 30M DOGE – Can Bulls Push Beyond $0.30?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
