Phoenix Group Launches $150M Crypto Treasury with Bitcoin and Solana Holdings

Phoenix Group, a publicly listed Bitcoin mining and digital infrastructure company, has officially launched a $150 million cryptocurrency treasury. The treasury is primarily composed of Bitcoin (BTC) and Solana (SOL), making Phoenix Group the first company on the Abu Dhabi Securities Exchange (ADX) to hold crypto assets as part of its corporate reserves.

The digital asset portfolio includes 514 BTC and around 630,000 SOL. The company’s leadership described the move as a strategic alignment with the digital economy rather than a speculative bet, emphasizing the long-term value of decentralized blockchain networks.

This announcement comes as Phoenix continues to solidify its position as a leading player in the crypto mining and infrastructure space, despite a challenging market environment. In the second quarter of 2025, the company reported revenue of $29 million, a sharp decline from $51 million in the same period last year, primarily driven by lower Bitcoin prices and network adjustments. Still, Phoenix remains operationally efficient, having mined 336 BTC in Q2 alone, including 214 BTC from self-mining activities.

Over the first half of 2025, the company mined a total of 689 BTC, reflecting continued optimization of its mining infrastructure. Notably, Phoenix has reduced its energy costs by 14% year-over-year, while maintaining strong gross margins around 31%, reinforcing the efficiency of its operations. The self-mining segment alone generated $41.7 million in revenue in H1 2025, up significantly from $13 million two years ago.

Despite solid operational metrics, Phoenix reported a non-cash loss of $29 million for the quarter. The loss was primarily driven by updated accounting treatments for digital assets and market-based revaluation. The company noted that these adjustments do not impact cash flow or core performance and are in line with revised financial reporting standards.

Financially, Phoenix maintains a strong balance sheet with a total debt of just $16 million, which is conservative compared to many of its peers. This low-leverage approach gives the company flexibility to invest in growth areas while minimizing financial risk.

Market reaction to the announcement of the crypto treasury has been overwhelmingly positive. Phoenix Group’s stock has surged over 72% in the second quarter of 2025, making it one of the top-performing and most actively traded equities on the ADX. The momentum has continued into Q3, with share prices posting further gains.

In addition to its mining and treasury strategy, Phoenix is accelerating its expansion into artificial intelligence and high-performance computing (HPC). The company is targeting 1 gigawatt of combined compute infrastructure capacity by 2027, with feasibility studies underway to convert existing sites into multi-use data centers. International expansion is also being explored to meet growing demand for decentralized and AI-enabled compute power.

The crypto treasury launch marks a major step for Phoenix Group as it bridges traditional finance and digital assets. The move may also serve as a blueprint for other regional and global corporations looking to diversify their reserves into blockchain-based assets. With its strong financial discipline, strategic focus, and expanding infrastructure portfolio, Phoenix Group is positioning itself as a key innovator in the evolving digital asset economy.