Abu Dhabi-based investment funds have significantly increased their holdings in BlackRock’s spot Bitcoin ETF (IBIT), reporting over $1 billion in exposure by the end of 2025, according to recent filings with the SEC. The two major players in this investment strategy, Mubadala Investments and Al Warda Investments, collectively held nearly 21 million shares of IBIT, providing them with direct exposure to Bitcoin, the leading cryptocurrency.
Mubadala, a sovereign wealth fund supported by the Abu Dhabi government, reported ownership of approximately 12.7 million shares of IBIT, reflecting an increase of nearly 4 million shares since its previous third-quarter filing. At current market values, this stake is estimated to be worth around $630 million. Meanwhile, Al Warda, linked to the Abu Dhabi Investment Council, increased its shareholding from about 7.96 million to over 8.2 million shares, translating to an investment of about $408 million.
Despite this substantial accumulation, the investments have not been immune to market volatility. The total exposure of these two funds has diminished in dollar terms due to a significant decline in Bitcoin prices. Year-to-date, Bitcoin ETFs have experienced notable losses, shedding over $21 billion in assets under management—from a peak of approximately $116.7 billion to about $95.5 billion, as reported by CoinGlass.
This decline was particularly pronounced for IBIT, with shares falling by 22.5% this year. Recent pricing indicates that combined exposure for Mubadala and Al Warda is now around $803 million, based on the current value of IBIT at approximately $38.44 per share.
Mubadala initially ventured into Bitcoin exposure in the last quarter of 2024, reporting an investment of at least $436 million at that time. The broader market conditions, however, have been challenging for Bitcoin ETFs. In the wake of fluctuating prices, many institutional investors, including Harvard University, have also scaled back their Bitcoin ETF positions. Harvard recently reported a reduction in its IBIT stake by 1.46 million shares, worth approximately $56 million, while simultaneously establishing a new $86 million position in BlackRock’s Ethereum ETF, ETHA.
Currently, Bitcoin is trading at around $67,718, reflecting a drop of about 1% over the past 24 hours and sitting approximately 46% lower than its all-time high of $126,080 reached in October. The investment landscape remains cautious as Bitcoin ETFs grapple with significant asset outflows, though there have been indications of small positive inflows in recent trading sessions. This dynamic illustrates the ongoing volatility and uncertainty within the cryptocurrency market, particularly for institutional investors navigating these challenging conditions.
