Abu Dhabi Adds $408M to Bitcoin ETF Holdings, Nears $1B Total

The acquisition brings the fund's total Bitcoin ETF holdings close to the $1 billion mark, with more than 8.7 million additional shares now under its belt.

Abu Dhabi's sovereign wealth fund has nearly reached the $1 billion mark in Bitcoin ETF holdings, according to recent filings with the U.S. Securities and Exchange Commission (SEC).

The latest round of 13F filings from the third quarter of 2023, reported on Monday, October 16, show that the fund, officially named ADQ, has added 8.7 million shares of BlackRock's (NYSE:BLK) flagship Bitcoin Trust (NYSE:BTC Trust (NYSE:BTC.coin: BTC Trust (NYSE:BTC.coin: BTC:). This addition is valued at approximately $408 million at the average third-quarter closing price for Bitcoin.

The timing of the announcement coincides with U.S. President Donald Trump's diplomatic visit to the UAE capital, where he is set to attend a state dinner at the presidential palace.

The move highlights a growing convergence between traditional diplomacy and the rising influence of digital assets in global finance.

Abu Dhabi, known for its forward-leaning approach to innovation, has made cryptocurrency a key pillar of its economic strategy. Earlier this year, the same sovereign fund disclosed a $436 million Bitcoin ETF position.

This signals a consistent and strategic accumulation of digital asset exposure by the Middle Eastern nation's wealth fund.

Earlier this year, stablecoin issuer Circle received approval to operate as a money services business in Abu Dhabi and launched a partnership with Hub71, the city's flagship tech ecosystem, to anchor the city as a global FinTech hub and accelerate blockchain innovation.

The initiative is part of Abu Dhabi's broader strategy to become a leading center for digital assets.

"This collaboration speaks volumes about Abu Dhabi's ambition to lead in the digital asset space," said Ahmad Ali Alwan, Hub71's CEO.

In other developments within the crypto sphere this quarter, MGX, an Abu Dhabi-based firm, made a $2 billion investment in Binance, further demonstrating the region's commitment to crypto market infrastructure.

With Bitcoin at the core of its growing investment footprint, Abu Dhabi is positioning itself as a central player in the future of global finance.