UAE sovereign wealth fund’s Bitcoin ETF holdings topped $1 billion

The United Arab Emirates (UAE) sovereign wealth fund’s investment in spot Bitcoin (BTC) exchange-traded funds (ETFs) is estimated to have surpassed $1 billion (about 1 trillion 400 billion won) as of the end of last year.

According to CoinDesk on the 18th (local time), the UAE sovereign wealth fund Mubadala held 12.7 million shares of BlackRock’s IBIT (iShares Bitcoin Trust) at the end of last year. IBIT is a U.S. spot Bitcoin ETF launched in 2024 by BlackRock, the world’s largest asset manager.

Mubadala increased its IBIT position by about 4 million shares in the fourth quarter alone, significantly expanding its Bitcoin exposure via the ETF. CoinDesk said, “This move came as Bitcoin prices fell about 23% in the fourth quarter,” adding that “after making its first IBIT investment in late 2024, Mubadala has continued to add to the position.”

Al Warda Investment, an investment firm under the Abu Dhabi Investment Council (ADIC), has also been steadily investing in Bitcoin ETFs. Specifically, Al Warda’s IBIT holdings totaled 8.2 million shares as of the end of last year, up by about 240,000 shares from the third quarter (7.96 million shares).

Mubadala and Al Warda’s combined IBIT investment is said to have exceeded $1 billion as of the end of last year. However, with Bitcoin prices extending declines since the start of this year, the valuation had fallen to about $800 million as of the previous day (the 17th). CoinDesk noted that “the crypto market has faced multiple headwinds, including low volatility early this year and macroeconomic uncertainty,” adding that “some long-term investors appear to be using the downturn to build positions in liquid products linked to digital assets.”