Harvard Invests Heavily in Bitcoin with $443 Million Investment, Surpassing Gold by Twofold

Harvard University increased its Bitcoin ETF investments by 257% during the third quarter, positioning the iShares Bitcoin Trust as its largest publicly disclosed asset with $442.8 million as of September 30.

As noted by Matt Hougan, Bitwise CIO, Harvard also raised its gold ETF investments by 99% to $235 million, allocating Bitcoin at a 2-to-1 ratio compared to gold.

Harvard escalated its bitcoin investment in Q3 from $117 million to $443 million. It also enhanced its gold ETF stake from $102 million to $235 million.
Consider this for a moment: Harvard opted for a debasement strategy, allocating to bitcoin at a 2-to-1 ratio over gold.

— Matt Hougan (@Matt_Hougan) December 8, 2025

The $443 million stake accounts for roughly 0.75% of Harvard’s $57 billion endowment, placing the institution among the top 20 largest investors in the BlackRock-managed fund.

Timing Proves Problematic as Bitcoin Tumbles

Harvard’s proactive Bitcoin acquisition occurred just before a significant market downturn that has diminished the value of its cryptocurrency investments.

Bitcoin has declined by over 20% since the conclusion of the third quarter, dropping from $114,000 to approximately $92,000.

Source: TradingView

This timing indicates that Harvard could experience a 14% loss on its third-quarter purchases in the most favorable scenario, assuming shares were acquired at July’s lowest point, which translates to an $89 million unrealized loss on the recent investment alone.

Although these losses represent a small fraction of Harvard’s substantial endowment, the university’s annualized returns have fallen behind some Ivy League counterparts over the last decade, as reported by WSJ.

Harvard achieved an 8.2% return, ranking ninth out of 10 prestigious institutions in a Markov Processes International analysis. For the year ending June 30, Harvard reported an 11.9% increase but lagged behind MIT’s 14.8% and Stanford’s 14.3%.

Stanford finance professor Joshua Rauh remarked in an interview with The Harvard Crimson that “investors often seem to regard both bitcoin and gold as safeguards against a collapse of the international monetary system in general, and against a depreciation of the US dollar in particular.”

However, he warned that “the degree to which either truly shields investors from these forces is uncertain and scenario-dependent.“

Academic Skepticism Meets Institutional Validation

Harvard’s significant Bitcoin investment sharply contrasts with earlier forecasts from its own economics faculty.

Kenneth Rogoff, a Harvard professor and former IMF chief economist, asserted in 2018 that Bitcoin was more likely to trade at $100 than at $100,000 within a decade.

“I believe bitcoin will be valued at a minuscule fraction of its current worth if we look a decade ahead,” Rogoff told CNBC, contending that eliminating money laundering and tax evasion would leave Bitcoin with “very small” transaction applications.

Rogoff recently admitted his error in judgment in his new book “Our Dollar, Your Problem,” stating, “I was overly optimistic about the US adopting sensible cryptocurrency regulations.”

Harvard economist @krogoff concedes his $100 Bitcoin crash prediction was incorrect as $BTC trades above $115,000.#Bitcoin #Harvardhttps://t.co/AX8l7Aitxz

— Cryptonews.com (@cryptonews) August 20, 2025

He added that he “did not foresee a scenario where regulators, particularly the primary regulator, would be able to brazenly hold hundreds of millions (if not billions) of dollars in cryptocurrencies seemingly without consequence given the obvious conflict of interest.“

Despite the increasing institutional adoption, criticism of Harvard’s Bitcoin investment has intensified.

MarketWatch columnist Brett Arends labeled the investment an “environmental catastrophe,” highlighting that Bitcoin’s global computing network consumes more energy annually than Thailand or Poland.

Meanwhile, Stanford professor Darrell Duffie also expressed astonishment at the investment, stating, “Bitcoin does not yield dividends and has limited utility as a payment method.“

Bitcoin’s Path Forward Remains Uncertain

Bitcoin is facing challenges in establishing a clear direction amid ETF outflows and declining market sentiment, leading to uncertainty regarding its ability to regain the $100,000 mark.

Over the past five weeks, more than $2.7 billion has exited Bitcoin ETF products.

In a conversation with Cryptonews, Arthur Azizov, Founder and Investor at B2 Ventures, characterized the current environment as “a market that has lost its anchor at the precise moment it required stability.“

He pointed out a disconnect with traditional markets, noting that “the S&P 500 has risen over 16% this year, while Bitcoin has decreased by about 3%.“

Azizov identified significant resistance levels ahead, explaining that “a large portion of Bitcoin is currently held at a loss, so each advance toward $96,000–$100,000 encounters selling pressure from holders aiming to exit at break-even.”

He added that approximately $3.35 billion in Bitcoin options are set to expire around a $91,000 area of interest, prompting caution among traders.

“Only a strong move above $100,000 could change the narrative, restore confidence, and pave the way toward the $120,000+ level,” Azizov stated.

“If that does not occur, a deeper retracement to the broader $82,000–$88,000 range may be necessary to attempt to breach the $100k barrier once more.“

The post Harvard Bets Big on Bitcoin With $443M Stake, Outpacing Gold 2-to-1 appeared first on Cryptonews.