Abu Dhabi Fund Makes First Sovereign Investment in Bitcoin Fund

In a notable move by a government investor, Mubadala, one of Abu Dhabi's sovereign wealth funds, took a $437 million stake in BlackRock's Bitcoin trust ETF – marking the first known sovereign wealth fund allocation to Bitcoin. The investment, disclosed in February, gives Mubadala exposure to BlackRock's iShares Bitcoin ETF and by extension to BTC's price appreciation.

This potentially signals rising acceptance of Bitcoin among sovereign institutions. It coincides with other public entities warming up to crypto: for example, a Czech National Bank board member urged exploring a 5% reserve allocation to Bitcoin. Mubadala's sizeable bet is viewed as part of the UAE's progressive approach to blockchain investments and could pave the way for other state funds to consider Bitcoin as an asset.

Source: VanEck Market Recap – Mubadala sovereign fund takes $436.9M stake in BlackRock Bitcoin ETF