TL;DR : The UAE government owns around $378-$651 million in Bitcoin, mostly earned by mining through a company it controls. This makes the UAE one of the top countries holding Bitcoin directly. Its approach is different from countries like the US and UK, which usually get Bitcoin through law enforcement seizures. The UAE is using Bitcoin mining as part of its long-term digital and economic growth plans.
🇦🇪 UAE’s Bitcoin Holdings and Strategy
- The UAE holds an estimated 6,300 to 9,300 Bitcoin, currently valued at $378–$651 million, mostly from mining operations.
- Mining is done by Citadel Mining, a public company majority-owned by the UAE Royal Group through the International Holding Company (IHC).
- Citadel Mining built a Bitcoin mining facility in 2022 on Al Reem Island, Abu Dhabi, in partnership with Phoenix Group and IHC.
- The UAE now ranks as the sixth-largest government Bitcoin holder globally by wallet size, and fourth among those identified by Arkham Intelligence.
- Unlike countries such as the US or UK, which acquired Bitcoin through law enforcement seizures, the UAE’s holdings come from strategic, government-backed mining.
🏗️ Digital Strategy and Crypto-Friendly Environment
- This mining initiative is part of the UAE’s economic diversification plan, using oil wealth to move toward a digital economy.
- The UAE has become a major global crypto hub, offering tax-free crypto trading, staking, mining, and selling.
- Government support comes from entities like Dubai’s Virtual Assets Regulatory Authority (VARA) and initiatives like the Dubai Blockchain Strategy.
🌍 Global Trend: More Nations Mining Bitcoin
- Countries like El Salvador, Bhutan, and Iran are also expanding Bitcoin mining, showing a rising global trend.
- Some nations mine to build crypto reserves, reduce reliance on traditional currencies, or use excess energy resources.
- Analysts expect more countries, especially in the Middle East and Africa, to start mining as Bitcoin adoption grows.
🧐 Questions Around Exact Figures
- The commonly shared $700 million figure is likely inaccurate or misquoted, actual estimates are between $378 million and $651 million, based on the Bitcoin price ($60k–$70k).
- Arkham Intelligence traced Bitcoin addresses and linked them to UAE-based mining entities, confirming significant holdings.
- The UAE government has not officially confirmed the exact number of Bitcoins held.