Al Abraj Restaurants Group Adds Bitcoin to its Balance Sheet, Signaling the Growing Adoption of Cryptocurrencies in the Middle East

In a development that reflects changing financial trends in the Middle East, Al Abraj Restaurants Group, a company listed on the Bahrain Bourse, has reportedly added Bitcoin to its balance sheet.

Al Abraj Restaurants Group, a company listed on the Bahrain Bourse, has reportedly added Bitcoin to its balance sheet. This development reflects changing financial trends in the Middle East, as Bahraini corporate houses are beginning to consider cryptocurrencies as a potential asset class.

Al Abraj made this news public on their official X account. The firm revealed that it had formed a strategic alliance with 10X Capital, a well-regarded company in the United States celebrated for its expertise in the field of digital currencies.

Al Abraj has entered into a relationship with 10X Capital to invest part of its treasury in Bitcoin. They have started with five Bitcoins and plan to steadily build their investment in the digital asset.

While this move has received little attention, it marks the first instance in Bahrain and the region of a listed company adopting Bitcoin for treasury purposes. This approach is similar to the one established by major companies around the world that have begun integrating Bitcoin into their treasury management strategies.

According to financial statements, Al Abraj is currently performing well and appears to be in a strong financial position. The company is said to have achieved pre-tax and interest profit of more than $12 million in 2024.

Al Abraj seems to be using the Bitcoin investment as a step towards expanding its financial portfolio and finding alternative avenues for investment gains.

In addition, they are committed to finding innovative ways for the Islamic finance community in the Middle East to embrace Bitcoin as a viable investment opportunity. This approach looks to enable more people, including those adhering to Sharia law, to access virtual currencies.

Furthermore, Al Abraj intends to collaborate with 10X Capital to identify innovative methods for securing funds to buy even more Bitcoin. The investment firm has played a crucial role in several significant digital asset transactions and is expected to share its expertise and knowledge with Al Abraj.

The decision was made with scrutiny of local financial rules and legislation. Bahrain’s supportive regulations may have encouraged Al Abraj to take on such an initiative.

Al Abraj has emphasized its commitment to upholding every regulation concerning cryptocurrency reporting and trading. A specialized committee will be formed to monitor the group’s strategies and actions regarding Bitcoin. The policies will cover matters such as asset security, accurate disclosure practices and potential risks associated with holding Bitcoin.

The head of the Bitcoin Treasury Committee stated that this decision showcases the company’s future direction and its aim to benefit shareholders through smart financial strategies.

While the media coverage of the news remains minimal, the company is known for its focus on modern finance and plans to embrace digital innovation for the long term.

Consequently, Al Abraj’s decision could indicate that the region as a whole is starting to embrace innovations in the digital assets field.

More firms in the Middle East are likely to adopt similar strategies as cryptocurrencies gain popularity across the world. As a result, the progressive attitude toward financial innovation in Bahrain could fuel this trend across the region.