Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
Phoenix Group, the UAE-based global cryptocurrency mining and infrastructure firm listed on Abu Dhabi Securities Exchange (ADX), mined a total of 689 Bitcoins during the first half of 2025. Of these, 336 Bitcoins were mined in the second quarter alone, with 214 attributed to self-mining operations.
The company posted Q2 revenue of $29 million, while self-mining revenue surged to $41.7 million in the first half—up 219% compared to the same period in 2023, when it stood at $13 million. Phoenix continues to mine profitably, reporting a gross margin of 31% on self-mining and achieving a 14% reduction in energy costs, according to its financial statement released Thursday.
Phoenix also announced the formal launch of its digital asset treasury strategy. The company’s corporate reserves, valued at over $150 million, consist mainly of 514 Bitcoins and more than 630,000 Solana coins.
“Phoenix has always been more than just a mining company. We’re a conviction-led digital infrastructure group,” said Munaf Ali, CEO and Co-Founder of Phoenix Group. “Holding Bitcoin and other strategic digital assets isn’t just about exposure. It’s about alignment. We believe in the long-term value these networks represent, and our treasury strategy reflects that belief.”
When asked to elaborate, a company spokesperson told Aletihad: “Our digital asset treasury is a strategic corporate initiative where Phoenix Group holds a portfolio of cryptocurrencies as part of our long-term balance sheet management.”
Clarifying the purpose of the holdings, the spokesperson added: “We mine and hold our own assets in the treasury, it's not a custody or banking service for third parties. The holdings—514 BTC and over 630,000 SOL—are Phoenix Group's corporate reserves, accumulated through our self-mining operations and strategic acquisitions. We do not hold or manage assets on behalf of others, nor do we offer withdrawal services. It is not a client-facing product.”
On the valuation, the spokesperson noted: “The $150 million+ figure is not a fixed target but the formalised starting point, with potential for further development as part of our growth strategy.”
Explaining operational metrics, the company clarified: “Self-mining refers to using our own hardware and infrastructure to mine Bitcoin directly for Phoenix Group's account, retaining all rewards. Non-self-mining includes our hosting services, where we provide data centre space, power, and maintenance for third-party miners' equipment.”
The company also reported a non-cash loss of $29 million, attributed primarily to revaluation of digital assets and a one-time depreciation adjustment under revised accounting standards.
Phoenix is now shifting focus toward expanding its Artificial Intelligence (AI) and High-Performance Computing (HPC) verticals. A feasibility study is underway to convert part of its US infrastructure into a multi-use compute facility. Simultaneously, the company is evaluating multiple international locations to accelerate its AI and HPC growth.
“We are building toward 1 gigawatt of hybrid infrastructure by 2027, and we see a clear path to get there,” said Ali.
