Abu Dhabi Investment Council Goes Big on Bitcoin ETF, Because Why Not?

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So, here’s the latest from the world of “who needs gold when you’ve got Bitcoin” – the Abu Dhabi Investment Council (ADIC) almost tripled its exposure to Bitcoin during Q3, and it wasn’t even a small bump. No, no. This was a BIG deal, folks. The council went all in through BlackRock’s spot Bitcoin fund. Can you say, “institutional crypto craze”? 😱

Apparently, this is the UAE’s way of saying, “We’re not just sitting on our oil reserves, we’re sitting on future gold too.” The ADIC, an arm of Mubadala Investment Company (because, why not throw in a little royalty for flair), shared with Bloomberg that Bitcoin is, in their eyes, the “digital equivalent of gold.” Yeah, sure. Because digital things that can go from $125K to $90K in a week are totally the same thing. 😂

Now, in the middle of this financial rollercoaster, ADIC decided to increase its Bitcoin Investment Trust (IBIT) holdings from 2.4 million shares to almost 8 million by the end of September. That’s worth about $520 million at the time. Wild, right? Of course, the ETF ended Q3 at $65 per share, only to rise to $71 on October 6th – the day after Bitcoin made a dramatic, “I’m going to the moon” leap to an all-time high of $125K. And then… well, the price crashed back below $90K. So, it’s like Bitcoin’s mood swings, but make it financial. 💅

Fast forward a bit – surprise, surprise – Bitcoin plunged below $100,000 and dragged IBIT down with it. By Wednesday, the ETF was sitting at a modest $50.71 per share. That’s a 23% drop from the end of Q3. Ouch. 🙈 But hey, despite this little “oopsie,” ADIC’s stock increase is still being hailed as a sign that the institutional world is, in fact, getting more serious about crypto. If you can’t beat it, join it, right? 🤷‍♀️

Zayed Aleem, a treasury manager from crypto investment platform M2, wrote on LinkedIn that it’s “fantastic” to see institutions backing crypto. Guess he didn’t get the memo about Bitcoin’s unpredictable mood swings. Still, he insists this signals the UAE’s rise as a global crypto powerhouse. Someone get this guy a drink, because optimism is strong with this one. 🥂

Meanwhile, crypto commentator MartyParty (yep, that’s a thing) thinks ADIC is just making a “strategic bet on BTC as a store of value.” Strategic? Sure. Bet? Definitely. Let’s just hope the “value” holds steady for more than a few days. 😬

IBIT Having an “Ugly Stretch” – Analyst Says

Enter Eric Balchunas, the ETF analyst, who, in a very direct fashion, described IBIT’s performance as having an “ugly stretch.” No sugarcoating here, folks. 😬 He did try to give a bit of a silver lining, though, mentioning that YTD flows are still at a crazy +$25 billion. And, as for the past month? Well, $3.3 billion in outflows from BTC ETFs, which is a solid 3.5% of AUM. Classic crypto rollercoaster. 🎢

Since its launch in January 2024, IBIT has seen about $63.12 million in net inflows. That’s… well, something. But don’t get too comfortable, because analysts are still divided about where Bitcoin will go from here. Bitcoin analyst VICTOR, for one, said that the current drawdown is “the close your eyes and bid type of range.” Sounds promising, right? 🤞

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2025-11-20 05:11