UAE Recognizes Bitcoin as Store of Value Comparable to Gold
Binance founder Changpeng Zhao has acknowledged playing a small role in the UAE's recognition of Bitcoin as a store of value comparable to gold. The move comes after years of growing national exposure, with the country now exceeding $1 billion across mining operations and sovereign ETF holdings.
According to reports, the UAE has formally classified Bitcoin as a store of value similar to gold. Zhao, who relocated to Dubai in 2021, said he 'might have done a tiny bit of advocacy for this' on social media.
The UAE's Bitcoin accumulation has taken two distinct paths. Abu Dhabi's royal family entered Bitcoin mining in 2022 through its affiliated firm, Citadel Mining, establishing large-scale operations on Al Reem Island that have produced an estimated $453.6 million in BTC, according to blockchain analytics platform Arkham.
The royal family is now sitting on approximately $344 million in profit on its Bitcoin holdings, excluding energy costs. The UAE's commitment extends well beyond mining, with two Abu Dhabi sovereign wealth entities, Mubadala Investment Company and Al Warda Investments, accumulating over $1 billion in combined holdings of BlackRock's iShares Bitcoin Trust (IBIT).