Just came across an interesting blockchain analysis: the UAE apparently has a significant unrealized profit of around $344 million from their Bitcoin mining operations. They have now mined about 6,782 BTC worth approximately $450 million at current prices.

The funny thing is how different this feels compared to how Western countries approach crypto. While the US and the UK mainly accumulate their Bitcoin through seizures, the UAE is building this up strategically by holding onto their mined coins. They are currently producing about 4.2 Bitcoin per day from their mining setup, so they are continuously expanding.

The operation has been running since 2022 through Citadel Mining and that large partnership with Marathon Digital on a 250-megawatt capacity. An interesting detail: in August, when Bitcoin was much higher, their position was probably worth nearly $700 million. Now, it’s lower due to the price drop, but still a substantial buffer.

What strikes me is that they are maintaining this while many miners are forced to sell their reserves to stay operational. The UAE is doing the opposite—they are building up during this dip. That’s a very different game plan than what you usually see in this market.