Abu Dhabi Investment Firms Boost Bitcoin Holdings Amid Market Decline

Abu Dhabi Investment Firms Double Down on Bitcoin Amid Market Decline

Abu Dhabi, UAE — In a bold move reflecting growing institutional confidence in cryptocurrency, two of Abu Dhabi’s leading investment firms have significantly increased their stakes in Bitcoin through BlackRock’s spot Bitcoin ETF, even as the market faced a notable downturn.

According to recent regulatory filings, Mubadala Investment Company, the sovereign wealth fund backed by the Abu Dhabi government, acquired nearly four million additional shares of BlackRock’s iShares Bitcoin Trust (IBIT) in the fourth quarter of 2025. This strategic investment brought Mubadala’s total holdings to an impressive 12.7 million shares, despite Bitcoin’s price plummeting approximately 23% during the same period.

Mubadala, which first ventured into IBIT in late 2024, has been steadily increasing its position, signaling a long-term commitment to the digital asset space. Meanwhile, Al Warda Investments, another prominent Abu Dhabi-based investment management firm, also expanded its holdings, ending the quarter with 8.2 million shares, a slight increase from 7.96 million shares three months prior.

Together, these two firms now control over $1 billion worth of Bitcoin via IBIT. However, as Bitcoin has continued its downward trajectory, dropping another 23% year-to-date in 2026, the current value of their combined holdings has dipped to just over $800 million, assuming no further acquisitions have been made this year.

The disclosures, made through 13F filings with the U.S. Securities and Exchange Commission, underscore a growing trend of institutional interest in spot Bitcoin ETFs, even amid challenging market conditions. BlackRock’s IBIT, which launched in early 2024, has rapidly emerged as the leading vehicle for regulated exposure to Bitcoin in the United States.

Despite the ongoing challenges facing the crypto market in early 2026—including low volatility, diminished retail participation, and macroeconomic uncertainties—long-term investors appear undeterred. They are seizing the opportunity to build positions in regulated and liquid products tied to digital assets.

Robert Mitchnick, BlackRock’s head of digital assets, addressed misconceptions surrounding the market during a recent panel discussion. He emphasized that the narrative suggesting hedge funds using ETFs are driving volatility and heavy selling does not align with BlackRock’s observations. Instead, he noted that IBIT holders are primarily focused on long-term gains.

As Abu Dhabi’s investment firms navigate the complexities of the cryptocurrency landscape, their strategic moves may pave the way for a more robust institutional presence in the digital asset market, even as the broader environment remains turbulent.