Two Abu Dhabi sovereign funds kept their full position in BlackRock’s iShares Bitcoin Trust through the end of the second quarter, even as the value of the holding fell sharply, according to new SEC filings.
Mubadala Investment Company and the Abu Dhabi Investment Council together reported 22.94 million IBIT shares on June 30. The position was valued at $764 million, down from $881 million three months earlier, implying a quarterly decline of about $118 million without any reduction in share count.
No change in share count
The filings show the two investors made no changes to their IBIT holdings during the quarter. Mubadala continued to hold 14.72 million shares, while the Abu Dhabi Investment Council kept 8.22 million shares.
Because the total matched the prior quarter exactly, the decline in the reported value came entirely from the ETF’s price rather than from any selling by the funds.
A quarter marked by a sharp reversal
The end-of-quarter comparison only captures part of the move. Bitcoin began April near $68,079 and rose to $82,139 by May 10. IBIT reached $46.47 the next day, putting the combined Abu Dhabi position at roughly $1.07 billion at its high point during the quarter.
That gain did not last. Bitcoin fell 17.9% in June and finished the month at $58,559. By the end of the quarter, the two funds’ IBIT stake had dropped about $302 million from its May peak.
Different weight inside each portfolio
The same market decline appears to carry very different significance for the two funds. For Mubadala, the IBIT position represents only 1.4% of its $34.77 billion US portfolio. That book is dominated by chipmaker GlobalFoundries, which accounts for 94.7%, while IBIT remains the second-largest disclosed position.
For the Abu Dhabi Investment Council, the exposure is much more concentrated. Its $274 million IBIT stake equals 38% of a $714 million disclosed portfolio, making it the largest position listed in its filing.
Broader institutional positioning shifted
The Abu Dhabi funds’ decision to hold steady came as some other institutions reduced exposure. The source article says Intesa Sanpaolo, Italy’s largest banking group, cut its IBIT position by 93.7% and shifted toward staked Ethereum products.
The same report also points to broader fund flow data showing spot Bitcoin funds lost 3,170 BTC in late July, while Ethereum funds posted inflows for a third consecutive week. It added that the average US spot Bitcoin ETF buyer was 22% underwater at the end of July.
What the next filing may show
The article notes that quarterly disclosures provide only a snapshot as of the reporting date and do not reveal what investors did on a daily basis. Still, holding through a swing from roughly $1.07 billion in May to $764 million at quarter-end suggests the position was not treated as a short-term trade.
Bitcoin later recovered above $65,000 in July and was trading near $62,957 on Saturday, according to the report, though still almost 50% below its Oct. 6, 2025 record of $126,080. The next confirmed update on whether the Abu Dhabi funds maintained or altered their IBIT exposure is expected in the November round of disclosures.
Source: beincrypto.com