Changpeng Zhao, the founder and former chief executive of Binance, has acknowledged playing what he called a small role in the United Arab Emirates' formal recognition of Bitcoin (BTC) as a store of value comparable to gold — a move that caps years of growing national exposure now exceeding $1 billion across mining operations and sovereign ETF holdings.
What Happened: UAE Recognizes BTC
"I might have done a tiny bit of advocacy for this," Zhao said in a post on social media, responding to reports that the UAE has formally classified Bitcoin as a store of value similar to gold.
CZ relocated to Dubai in 2021. His presence in the emirate and connections to prominent figures in the region have coincided with a significant expansion of the country's cryptocurrency activity.
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.
On-chain data shows the entity has held the majority of its mined Bitcoin, with the last recorded outflow occurring four months ago.
The royal family is now sitting on approximately $344 million in profit on its Bitcoin holdings, excluding energy costs.
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Why It Matters: Sovereign BTC Reserves
The UAE's Bitcoin commitment extends well beyond mining. Two Abu Dhabi sovereign wealth entities — Mubadala Investment Company and Al Warda Investments — have accumulated more than $1 billion in combined holdings of BlackRock's iShares Bitcoin Trust (IBIT).
Separate 13F filings with the U.S. Securities and Exchange Commission showed that by the end of last year, Mubadala held over 12.7 million IBIT shares valued at $631 million, while Al Warda owned at least 8.21 million shares worth $408 million. Although the value of those ETF positions has declined alongside Bitcoin's price, the UAE's total exposure remains above $1 billion.
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