Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
According to a recent report, the UAE has joined the likes of Japan, El Salvador, and Russia on a list of countries with government support for Bitcoin mining activity.
This raises a direct question: Is the UAE government actually involved in Bitcoin mining?
There are signs that state-backed mining has been underway for some time, according to posts on social media.
Binance founder Changpeng Zhao (CZ) commented on one of the posts saying that as far as he knows, this issue has been existing for some time.
The “Arkham Intelligence” platform also stated in August 2025 that the UAE held between 6,300 and 6,450 Bitcoins, worth approximately $700 million at the time, said to be through a state-backed mining operation by “Citadel Mining.”
According to the data, rather than leaving the industry entirely to private companies or contenting itself with distant regulation, the UAE is moving toward direct involvement in or sponsorship of mining operations.
However, in September 2025, specific restrictions emerged in Abu Dhabi, banning cryptocurrency mining on agricultural land and imposing fines of up to AED 100,000 on violators, with the aim of protecting energy resources and controlling land use.
The report found that the UAE views Bitcoin mining as part of the national infrastructure, similar to data centers, telecommunications networks and energy projects.
News from Dubai and Abu Dhabi over the past few years has also reinforced the country’s image as an attractive regulatory destination for the digital currency industry by attracting trading platforms and blockchain companies and establishing free zones specifically for crypto-related businesses.
Globally, other countries stand out in the mining sector, such as El Salvador, which still holds thousands of Bitcoins, Bhutan, which has been secretly mining Bitcoin since 2018 and relies on hydroelectric power, while countries such as Iran and Russia benefit from various energy resources with different policies based on network and energy conditions.
Also read:
Dubai Sweeps Update to Ban Privacy Coins and Tighten Stablecoin Control Laws: Details
