In a strategic pivot, Harvard Management Company has reduced its holdings in the BlackRock Bitcoin ETF while making its inaugural investment in Ethereum. This significant shift, revealed through recent filings with the SEC, highlights a notable change in one of the largest university endowments as it navigates a challenging cryptocurrency market.
During the fourth quarter of 2025, Harvard trimmed its position in the BlackRock Bitcoin ETF from approximately $442.9 million to $265.8 million. This reduction involved the sale of around 1.5 million shares, lowering its total from 6.8 million to 5.4 million shares. This represents a decrease of over 21% in their Bitcoin holdings, which remain the largest publicly disclosed cryptocurrency asset within the endowment.
Simultaneously, Harvard entered the Ethereum market by acquiring nearly 3.9 million shares of BlackRock”s iShares Ethereum Trust, valued at about $87 million as of December 31. This marked a significant milestone for the university, as it now has direct exposure to ether through an exchange-traded fund.
The timing of these portfolio adjustments coincided with a downturn in cryptocurrency prices, particularly for Bitcoin, which fell from a peak near $125,000 in October to just below $90,000 by the end of the year. Ether also experienced a decline, dropping from over $4,000 to under $3,000 during this period.
Market analysts suggest that Harvard”s moves may reflect more intricate trading strategies rather than straightforward sentiment shifts. Andy Constan, founder and chief investment officer at Damped Spring Advisors, indicated that the changes could be related to the unwinding of trades involving bitcoin treasury companies that had previously traded at a premium to their actual bitcoin holdings. As Bitcoin prices fell, the stock prices of these firms declined, prompting a reevaluation of positions.
Wider trends among institutional investors are also noteworthy. Data compiled from SEC 13F filings indicates a significant decline in total institutional ownership of BlackRock”s Bitcoin ETF, dropping from 417 million shares in the third quarter to 230 million in the fourth quarter of 2025. This trend mirrors Harvard”s adjustments, as it also made alterations to its other investments, increasing its stake in Alphabet by nearly $100 million while reducing its holdings in companies like Amazon, Microsoft, and Nvidia.
As of June 30, 2025, Harvard”s total endowment stood at $56.9 billion, with its cryptocurrency ETF investments representing a modest 0.62% of total assets under management. This underscores the university”s cautious yet proactive approach to navigating the volatile landscape of digital assets, balancing between established players like Bitcoin and emerging opportunities represented by Ethereum.
