UAE: A Powerhouse in State-Linked Bitcoin Mining
The United Arab Emirates has positioned itself as a formidable force in the global cryptocurrency arena, rapidly becoming one of the largest state-associated holders of Bitcoin. According to the renowned cryptocurrency intelligence platform, Arkham, the UAE Royal Group’s mining initiatives have amassed Bitcoin worth over $719 million.
Origin of the UAE’s Bitcoin Holdings
In contrast to countries like the United States and the United Kingdom, whose substantial Bitcoin reserves are mainly acquired through law enforcement seizures, the UAE’s impressive Bitcoin cache is predominantly the result of extensive mining operations. Citadel Mining, a prominent player in this space, has mined approximately 9,300 BTC since 2022, with a significant portion—at least 6,300 BTC—still in their reserves.
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Growth in Bitcoin Reserves
Research conducted by Finbold reveals a remarkable growth in the UAE’s Bitcoin holdings, which increased from $549.5 million on January 1, 2025, to $719.6 million by August 26, 2025. This $170 million surge is attributed not only to the price appreciation of Bitcoin, which climbed from $92,595 to $110,092 but also to the net accumulation of 409 BTC, marking a 6.9% increase.
The Role of Key Players
The assets are managed through Citadel Mining, a publicly traded Bitcoin mining company primarily owned by the UAE’s International Holding Company (IHC). Sheikh Tahnoon bin Zayed Al Nahyan, a senior member of Abu Dhabi’s royal family, exerts control over IHC. This strategic alignment underpins the UAE’s royal family’s influence in the burgeoning Bitcoin mining industry.
State-Backed Mining Empire
Citadel Mining’s ownership structure underscores its significance, with 85% owned by 2pointzero, a wholly-owned subsidiary of IHC. IHC, in turn, is 61% owned by the UAE Royal Group, consolidating control within Abu Dhabi’s ruling elite.
Together with the Phoenix Group, another UAE-listed miner tracked by Arkham with $3.2 million in Bitcoin assets, the UAE has cultivated a substantial mining presence. In 2022, Citadel and Phoenix collaborated to construct a sprawling 80,000 square meter mining facility on Abu Dhabi’s Al Reem Island, accomplishing this feat in just six months.
Verification and Transparency
Satellite images of the facility align with reported mining activities, and on-chain transfers between Phoenix and Citadel validate disclosures made in official filings, as corroborated by Arkham.
UAE’s Prominent Position Among State Bitcoin Holders
Arkham now ranks the UAE as the fourth-largest government-linked Bitcoin holder worldwide, following the United States, the United Kingdom, and Bhutan’s Royal Government, and just ahead of El Salvador.
Unlike the U.S., which holds over 200,000 BTC primarily from seizures, the UAE’s Bitcoin holdings showcase direct sovereign involvement in Bitcoin mining infrastructure. With its $719 million stake and ongoing mining expansion, the UAE is solidifying its status as a pivotal institutional player in Bitcoin’s rapidly evolving global landscape.
