UAE State Investor Makes Bold Move With Tripled Stake in IBIT

The Abu Dhabi Investment Council tripled its stake in BlackRock’s iShares Bitcoin Trust during the third quarter, raising its holdings to 8 million shares worth $518 million in a significant shift toward regulated Bitcoin investment products.

Abu Dhabi Fund Deepens Exposure to Bitcoin

The Abu Dhabi Investment Council (ADIC) sharply expanded its exposure to US-listed Bitcoin investment products in the third quarter of 2025, tripling its position in BlackRock’s iShares Bitcoin Trust (IBIT). Regulatory filings show that Al Warda Investments, an investment unit operating under ADIC, increased its stake from 2.4 million shares to 8 million shares as of September 30.

The expanded holding was valued at approximately $518 million at the end of the period, marking one of the fund’s most substantial positions in a publicly traded digital asset product.

Market Context and Timing

The position was established shortly before a downturn in the broader crypto market. According to Bloomberg, Bitcoin has declined roughly 20% since late September, erasing the ETF’s third-quarter gains. IBIT recorded a 6.2% rise during the quarter but has since faced sustained outflows amid weakening digital asset prices.

While the precise acquisition price paid by Abu Dhabi is undisclosed, Bloomberg data places IBIT’s average third-quarter price at $64.52 per share. The timing underscores a high-conviction approach by the sovereign wealth manager despite short-term volatility.

Shift in Institutional Strategy

ADIC is part of Mubadala Investment Co., one of Abu Dhabi’s largest sovereign wealth groups with a global footprint across infrastructure, buyouts, and real estate. The council seldom discloses positions in listed crypto markets, generally favouring private market strategies. Its decision to scale up its allocation to Bitcoin through a regulated US ETF represents a notable departure from that pattern.

A spokesperson for ADIC told Bloomberg that Bitcoin has taken on increasing importance within its diversified allocation model, saying,

“We view bitcoin as a store of value similar to gold, and as the world continues to move toward a more digital future, we see bitcoin playing an increasingly important role alongside gold.”

The fund expects both assets to remain central to its portfolio across multiple investment horizons.

Growing Regional and Global Interest

ADIC’s expanded position coincided with increased institutional flows into US-listed Bitcoin ETFs earlier in the year. Other large entities, including Harvard Management Co., raised their exposure to IBIT in the same quarter. However, momentum has since reversed. November alone saw $3.1 billion exit US spot Bitcoin ETFs, with IBIT registering a single-day withdrawal of $523 million.

Despite the recent outflows, the scale of Abu Dhabi’s investment underscores the emirate’s accelerating role in global digital asset finance. Sovereign wealth funds across Abu Dhabi collectively oversee more than $1.7 trillion and have been expanding their presence across the digital assets landscape.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice