UAE Bets on Mining to Build $740M Bitcoin Reserve, Trails Only US, China, UK
The United Arab Emirates has joined the ranks of the world’s largest state bitcoin holders, with reserves valued at about $740 million. Data from blockchain analytics platform Arkham Intelligence shows the country holds around 6,333 BTC, making it the fourth-largest government holder globally, trailing only the United States, China, and the United Kingdom.
The assets are tied to Citadel Mining, a publicly backed mining company connected to the UAE’s Royal Group through International Holding Company (IHC). Arkham was the first to trace the wallets back to Citadel Mining, confirming the government’s stake.
Unlike many countries that acquire bitcoin through seizures linked to criminal cases, the UAE has grown its holdings by mining directly. This effort has been driven by a collaboration with Phoenix Group, a major infrastructure provider in the mining sector. The approach reflects the nation’s broader ambition to expand its role in the global digital economy while reducing dependence on traditional revenue streams.
Supportive regulations, efficient energy strategies, and strong partnerships have helped scale up mining activities in the Emirates, positioning Citadel Mining at the centre of its long-term digital asset strategy. By choosing mining over market purchases, the UAE has distinguished itself as a proactive player in the sector.
The move highlights the country’s crypto-friendly policies at a time when sovereign interest in bitcoin is growing worldwide. As Abu Dhabi and Dubai continue to develop into hubs for blockchain innovation, the UAE’s strategy could inspire other Middle Eastern nations to explore bitcoin mining and state-level reserves.
