Brown University Makes History as the First Ivy League School to Buy Bitcoin

Brown University, a renowned institution of higher education in the U.S., has made an interesting addition to its investment portfolio.

According to a recent 13F filing, the Ivy League university, which is also one of the oldest institutions in the U.S., has purchased shares in a Bitcoin (BTC) Trust ETF.

As of March 31, 2024, the university disclosed that it held 105,000 shares of BlackRock Inc.'s (NYSE:BLK) iShares Bitcoin Trust ETF (NYSE:IBIT). The total value of the shares was $4,934,000.

This makes Brown University the third U.S. university to invest in Bitcoin. Previously, Emory University in Atlanta and The University of Austin (UATX) in Texas were known to have made such investments.

What's more, Brown University is the first Ivy League university to buy Bitcoin. The university, which was recently ranked among the top 10 colleges in the U.S. by U.S. News & World Report, is known for its stellar programs.

The Rhode Island-based research university manages an endowment fund, which is a source of long-term funding for the university's operations and programs.

As of 2024, Brown University's endowment fund is estimated to be a massive $7.2 billion. In 2024, the endowment fund had a return of 11.3%, which amounts to $728 million.

The university's endowment is known for its diversification across various asset classes, including private equity, fixed income, real estate, and short-term investments.

Brown University's decision to invest in Bitcoin via IBIT showcases the cryptocurrency's increasing appeal to institutional investors.

Earlier this year, reports surfaced that Emory University had bought a stake in IBIT during the fourth quarter of 2023. The university's investment was valued at around $20 million.

Meanwhile, UATX, a new university founded by the Charles Koch Institute, was reported to have invested in IBIT in the third quarter of 2023. The university's investment was estimated to be worth $5 million to $15 million.

As institutions increasingly turn to alternative investments, it will be interesting to see what new additions universities and other institutions make to their portfolios in the coming months.