UAE reveals $700M Bitcoin stash, far below hype

The United Arab Emirates (UAE) government holds an estimated $700 million worth of Bitcoin, according to new data from blockchain analytics firm Arkham Intelligence. The disclosure makes the UAE Bitcoin holdings one of the first publicly identified sovereign crypto wallets.

Arkham announced Monday that the government-linked wallets contain around 6,300 BTC, mined largely through Citadel Mining, a company majority-owned by the state-backed International Holding Company (IHC). This contrasts with earlier speculation that the UAE had acquired up to 420,000 Bitcoin through criminal seizures, a claim now proven inaccurate.

“Unlike the US and UK, the UAE’s holdings do not come from police asset seizures but from mining operations with Citadel Mining,” — Arkham Intelligence, in a public statement.

Mining-led accumulation strategy

Citadel Mining, launched in 2022 in partnership with UAE-based Phoenix Group and IHC, operates a large-scale facility in Abu Dhabi. Arkham said it matched “on-chain mining activity with satellite imagery of facility construction” and cross-verified transaction amounts with official company reports.

Through Citadel, the UAE has mined a total of 9,300 BTC, though a portion has already been sold or transferred. The UAE Bitcoin holdings are structured through 2pointzero, a holding company 85% owned by IHC. The IHC itself is controlled in part by the Royal Group, chaired by Sheikh Tahnoon bin Zayed Al Nahyan, a prominent member of Abu Dhabi’s ruling family.

“The UAE’s approach highlights how resource-backed nations can leverage structured financing and energy resources to secure a digital asset position,” — Daniel Dadybayo, Research Lead, Unstoppable Wallet, told Decrypt.

Global comparison of nation-state Bitcoin treasuries

With its 6,300 BTC reserve, the UAE now ranks sixth globally in nation-state Bitcoin holdings, according to estimates from BitBo. Bhutan holds more with 11,286 BTC, while El Salvador trails slightly with 6,246 BTC.

The United States leads with 198,012 BTC, followed closely by China at 194,000, largely from seizures linked to the PlusToken scam. The United Kingdom ranks third with 61,245 BTC. In total, sovereign entities collectively hold about 517,000 BTC, representing 2.4% of the circulating supply, valued at more than $56 billion.

“State-level Bitcoin treasuries are becoming increasingly strategic,” — Paolo Ardoino, CEO of Tether, said recently in remarks on global adoption. “What we’re seeing is countries shifting from passive to active strategies in accumulating and holding BTC.”

Implications for investors and regional strategy

For crypto investors, the revelation that UAE Bitcoin holdings are based on industrial-scale mining rather than enforcement seizures provides a new lens for evaluating sovereign involvement in digital assets. While the figure is far smaller than prior rumors suggested, the UAE’s structured accumulation highlights a long-term, infrastructure-driven strategy.

Industry observers note that the UAE is positioning itself as a hub for blockchain innovation and digital asset adoption, with its state-led mining efforts reflecting a broader vision. For investors, this may signal increasing institutional confidence in Bitcoin, though volatility risks remain.

By comparison, corporate players like MicroStrategy still dominate the private sector with more than 629,000 BTC in treasury, a figure that dwarfs sovereign holdings. Meanwhile, Bitcoin’s pseudonymous creator, Satoshi Nakamoto, is believed to control over 1 million BTC, according to Arkham.

As the global landscape of sovereign crypto adoption evolves, the UAE Bitcoin holdings may serve as a case study of how energy-rich states can diversify their reserves and integrate digital assets into national financial strategies.