- In keeping with blockchain analytics platform Arkham Intelligence, the United Arab Emirates holds about $700 million in Bitcoin.
- Arkham traced the mining exercise to Citadel Mining, which it mentioned was established in Abu Dhabi in 2022.
- Primarily based on Arkham’s report and estimates from BitBo, the UAE ranks sixth amongst sovereign Bitcoin holders.
The United Arab Emirates holds about $700 million in Bitcoin, primarily gathered from mining operations, in keeping with blockchain analytics platform Arkham Intelligence.
In a submit on X on Monday, Arkham mentioned it had turn into one of many first to publicly determine the UAE authorities’s wallets, estimating that they comprise about 6,300 Bitcoin.
The holdings had been attributed to mining performed by way of Citadel Mining, an organization majority owned by the government-backed Worldwide Holding Firm (IHC).
Arkham famous that, not like the USA and the UK, the place nationwide Bitcoin holdings have largely come from police asset seizures, the UAE’s reserves are linked on to mining.
Hypothesis across the nation’s Bitcoin publicity had beforehand steered a lot bigger reserves.
Market rumors usually positioned the UAE’s holdings at round 420,000 Bitcoin, price roughly $46 billion at present costs, and allegedly sourced from seizures of illicit exercise.
These estimates, if correct, would have positioned the UAE as the biggest sovereign Bitcoin holder globally.
Arkham’s findings, nevertheless, put the determine considerably decrease.
Mining operations tied to royal-linked conglomerates
Arkham traced the mining exercise to Citadel Mining, which it mentioned was established in Abu Dhabi in 2022.
The agency reported that the enterprise was developed in collaboration with Phoenix Group, a publicly listed UAE mining firm, and the IHC.
Arkham added that it corroborated the timeline of on-chain mining exercise with satellite tv for pc imagery displaying the development of the power.
The corporate mentioned on-chain transactions between Phoenix and Citadel additionally matched figures disclosed in official paperwork.
Primarily based on its evaluation, Arkham estimated that Citadel Mining has mined a complete of 9,300 Bitcoin to this point.
Citadel Mining is 85% owned by 2pointzero, a holding entity managed by IHC.
The IHC itself is majority owned by the UAE Royal Group, a conglomerate led by Sheikh Tahnoon bin Zayed Al Nahyan of Abu Dhabi’s royal household, which holds a 61% stake.
How UAE compares with different nation-states
Primarily based on Arkham’s report and estimates from BitBo, the UAE ranks sixth amongst sovereign Bitcoin holders.
Its reserves place it behind Bhutan, which holds 11,286 Bitcoin, and forward of El Salvador, which holds 6,246.
The USA stays the biggest holder with 198,012 Bitcoin, most of it originating from legislation enforcement seizures.
China follows with 194,000, primarily stemming from its 2019 crackdown on the PlusToken rip-off, whereas the UK ranks third with 61,245.
BitBo estimates that sovereign entities collectively maintain about 517,000 Bitcoin, or 2.4% of the entire circulating provide, with a complete worth exceeding $56 billion.
Within the company sector, Michael Saylor’s agency MicroStrategy is cited as the biggest institutional holder, with a treasury of 629,376 Bitcoin, representing about 2.9% of the availability.
The corporate continues to broaden its Bitcoin reserves.