Abu Dhabi Wealth Funds Increase Bitcoin ETF Holdings Amid Market Dip

Two major Abu Dhabi investment firms, Mubadala Investment Company and Al Warda Investments, increased their exposure to Bitcoin in the fourth quarter of 2025, purchasing shares of BlackRock’s spot Bitcoin ETF (IBIT) as the cryptocurrency’s price declined. This move signals growing institutional interest in Bitcoin, even during periods of market volatility.

Abu Dhabi Funds Exceed $1 Billion in Bitcoin ETF Holdings

Combined, Mubadala and Al Warda held more than $1 billion worth of Bitcoin through their IBIT holdings at the end of 2025, according to recent filings with the U.S. Securities and Exchange Commission. Mubadala increased its stake to 12.7 million shares, while Al Warda held 8.2 million shares CoinDesk.

However, with Bitcoin experiencing a further 23% decline in value in early 2026, the current value of their combined holdings has decreased to just over $800 million as of February 18, 2026 CoinDesk.

Strategic Investment During Market Downturn

The disclosure reflects a strategic decision by these funds to capitalize on market dips and build positions in regulated Bitcoin investment products. BlackRock’s IBIT, launched in early 2024, has become a dominant vehicle for institutional exposure to Bitcoin in the U.S. Decrypt.

Despite headwinds in the crypto market, including low volatility and macroeconomic uncertainty, some long-term investors are using the downturn as an opportunity to increase their positions in digital assets through ETFs. Robert Mitchnick, BlackRock’s head of digital assets, has stated that IBIT holders are primarily long-term investors, dispelling concerns that ETF activity is driving market volatility CoinDesk.

Growing Institutional Interest in Bitcoin

Mubadala Investment Company, a sovereign wealth fund backed by the Abu Dhabi government, began purchasing IBIT shares in late 2024 and continued to add to its holdings throughout the fourth quarter of 2025. Al Warda Investments, another Abu Dhabi-based firm overseeing global assets, also increased its IBIT stake during the same period Bitcoin Magazine.

This increased investment from Abu Dhabi-based funds underscores a growing trend of institutional adoption of Bitcoin and other digital assets, despite ongoing market fluctuations.

Key Takeaways

• Abu Dhabi’s Mubadala and Al Warda Investments collectively held over $1 billion in BlackRock’s IBIT at the end of 2025.
• The investment was made during a period of Bitcoin price decline, indicating a strategic move to capitalize on market dips.
• Current market conditions have reduced the value of their holdings to just over $800 million.
• BlackRock’s IBIT is emerging as a preferred vehicle for institutional investment in Bitcoin.