Harvard reduces Bitcoin holdings, shifts investment to Ethereum
February 16, 2026
Harvard University’s management company has made significant changes to its investment portfolio by reducing its holdings in Bitcoin and investing in Ethereum. During the fourth quarter, the university sold over 20% of its shares in a Bitcoin ETF, amounting to 1.48 million shares. Despite this reduction, Bitcoin remains the largest public asset in Harvard’s portfolio, surpassing investments in tech giants like Alphabet, Microsoft, and Amazon.
At the same time, Harvard made its first foray into Ethereum by acquiring 3.87 million shares of iShares Ethereum Trust (ETHA), valued at $86.8 million. This new investment brought the total valuation of crypto assets under Harvard’s management to $352.6 million.
However, Harvard’s crypto strategy has faced criticism from finance professors at the University of Washington and UCLA. These critics argue that investments in cryptocurrencies are risky due to the lack of intrinsic value of these assets and their volatile price fluctuations. Despite these concerns, Harvard’s decision to diversify its portfolio into Ethereum reflects a broader market trend.
According to reports from CoinShares, outflows from crypto products have been ongoing for four consecutive weeks. Last week, investors withdrew $173 million from these products, with a significant portion of sales coming from the US. However, there have been inflows into crypto funds in Germany, Canada, and Switzerland, indicating varying sentiments in different regions.
Moreover, there has been a growing demand for altcoins like XRP and Solana, with inflows reaching $33.4 million and $31 million, respectively. These alternative cryptocurrencies are gaining popularity among investors looking to diversify their portfolios and potentially capitalize on new opportunities in the market.
In the previous week, cryptocurrency investment products experienced significant outflows totaling $1.73 billion, reflecting the overall volatility and uncertainty in the crypto market. Despite these challenges, Harvard’s decision to invest in Ethereum signals its confidence in the long-term potential of cryptocurrencies as a new asset class.
Overall, Harvard University’s strategic shift from Bitcoin to Ethereum underscores the evolving landscape of the crypto market and the growing interest in alternative cryptocurrencies. While criticisms persist regarding the risks associated with crypto investments, the university’s decision reflects a calculated approach to diversifying its investment portfolio and embracing new opportunities in the digital asset space.
