Harvard University’s endowment is quietly increasing massively its Bitcoin investments.
University bought more BlackRock’s iShares Bitcoin Trust Trust (IBIT), which was launched in September, had 6.8 millions shares. This investment has a value of $442.8 millions.
Harvard held just 1.9million shares in the past, valued at $116.6million. IBIT Harvard has now disclosed its largest public position. According to the filing, it is the largest single quarter increase of its holdings.
Harvard Management Company manages the $57 billion endowment of Harvard University. Bitcoin ETF represents less than 1% of endowment assets.
Bloomberg ETF analyst Eric Balchunas said This is what it means “super rare” For a university, investing in ETFs is a good idea. He also said the stakes are “as good a validation as an ETF can get.”
Despite Bitcoin’s recent price drop The move below $93,000 signals an increase in institutional acceptance. IBIT is the largest Bitcoin ETF in the world, with assets of nearly $75 billion.
Harvard increased its gold holdings. Endowment almost doubled its SPDR gold shares (GLD), worth approximately $235.1 Million, to 661 391 shares.
Amazon, Microsoft and Meta are still major US tech firms. Also, the endowment added Klarna (16.8 millions) and Taiwan Semiconductor (59.1million).
Harvard has a strong focus on diversifying its portfolios, as evidenced by the increase in Bitcoin allocations and gold. Analysts view this as part a broader institutional trend. Ryan Rasmussen is a Bitwise Analyst said The stake could grow as other institutions start to copy.
Bitcoin is being purchased by institutions other than Harvard
Bitcoin ETFs are increasing in other institutions. Emory University disclosed A 91% rise in the Grayscale Bitcoin Mini Trust ETF’s holdings totaling more than $42 millions.
An Abu Dhabi sovereign wealth fund, Al Warda Investments, reported IBIT now has a value of $517.6 Million, a growth by 230%.
Harvard’s Bitcoin investment is not common, but it is significant. Institutional investors typically avoid ETFs and prefer private equity, direct investments, or real estate.
Similar strategies could be adopted by other pension funds, sovereign wealth funds and endowments.
At the time of writing, Bitcoin’s price is nearing $92,000, putting it almost 30% below its all-time high near $126,000 — a level referenced in earlier market coverage. The drop follows weeks of sharp selling, with BTC sliding from the mid-110,000s — where it was trading when panic hit and rumors swirled about large institutional outflows — to its current lows.
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Source: bitcoinmagazine.com
