The Abu Dhabi Investment Council (ADIC) has almost tripled its share of BlackRock's iShares Bitcoin Trust (IBIT) in the third quarter of 2025. ADIC had a holding of 2.4 million shares at the beginning of Q3 and nearly 8 million on September 30. At the end of IBIT's quarterly roundup price of $65 a share, the position ran to about $520 million, a 230% increase.
The expansion took place during a time of huge volatility in Bitcoin. ADIC described bitcoin as the "digital equivalent of gold," and it reflects a growing interest in digital assets by the UAE sovereign funds and global investors. The council runs under the Mubadala Investment Company and keeps on pushing for long-term digital asset exposure despite the market fluctuations.
Bitcoin hit an all-time high of $125,100 on October 5 before falling below $90,000 in the following weeks. IBIT price rocketed to $71 a share on October 6, but closed at $50.71 recently. For the past 30 days, IBIT has fallen by more than 19% and 23% since the end of Q3.
Despite the decline, analysts say that the accumulation of ADIC is indicative of growing institutional faith in the crypto sector. Treasury manager Zayed Aleem said the move was a reflection of the UAE's increasing role in the global digital assets space. Similarly, crypto commentator MartyParty referred to the purchase as a long-term strategic investment in the value of Bitcoin.
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The Bitcoin ETF experienced its largest single-day outflow since its launch in January 2024, shedding $523.2 million as Bitcoin briefly dropped to $88,000. Bloomberg ETF analyst Eric Balchunas reported that IBIT has had a rough time but added that year-to-date flows have been strong, with approximately $25 billion, with $3.3 billion in outflows in the last month.
Analysts are still divided about what will happen to Bitcoin in the short term. The considerable investment of ADIC indicates the desire of the UAE to invest in digital assets and the increasing demand of sovereign wealth funds and financial institutions in the cryptocurrency market. The UAE was already a major participant in the distribution of digital resources worldwide, and this relocation is an indicator of trust in Bitcoin, despite the market volatility.