Key facts
- At least one sovereign wealth fund is accumulating spot Bitcoin, with potentially two more in the coming weeks.
- MidChains CEO Basil Al Askari stated that current low prices are seen as an attractive entry point for these large institutional investors.
- Sovereign wealth funds, which control over $13 trillion globally, signal state-level conviction when investing in assets like Bitcoin.
- Mubadala Investment Company invested $437 million in Bitcoin via BlackRock's iShares Bitcoin Trust in February 2025.
- Family offices and government funds in the UAE are reportedly buying Bitcoin at a discount.
Sovereign wealth funds are actively accumulating spot Bitcoin, signaling that the current price level is attractive to institutional investors, according to Basil Al Askari, CEO of MidChains. He confirmed that at least one such fund has been buying Bitcoin, with expectations that one or two more may follow suit in the coming weeks.
Al Askari, speaking on Cointelegraph's "Chain Reaction" podcast, noted that while retail participation has slowed, institutional and corporate interest is growing. He characterized the current low price as an "entry level" for large sovereign funds that possess the patience for extended accumulation periods. These state-owned investment funds, collectively managing over $13 trillion globally, represent a significant signal of state-level conviction in Bitcoin.
While the immediate impact on Bitcoin's price may not be a massive cascade, Al Askari believes this move sends a clear signal to other institutions on the sidelines, encouraging them to experiment and get involved. He anticipates this will lead to greater adoption over the longer term.
Recent reports indicate that Abu Dhabi's Mubadala Investment Company invested $437 million in Bitcoin via BlackRock's iShares Bitcoin Trust in February 2025. Bhutan's Druk Holding and Investments, an early sovereign holder, has been selling some of its holdings this year.
John D’Agostino, Coinbase's head of institutional strategy, echoed this sentiment, stating that family offices and government funds in the UAE are pleased to acquire Bitcoin at a discount. This comes amid sustained outflows from U.S. spot Bitcoin ETFs, exceeding $4.1 billion this month, while corporate treasuries, such as Strategy, continue to accumulate, having bought 3,657 BTC this month.