Brown University Reveals a New $4.9 million Investment in BlackRock’s iShares Bitcoin Trust

This investment stems from a 13F filing, which reveals that 105,000 shares were purchased, marking the university’s initial reported investment in a spot Bitcoin ETF.

Brown University has made a new investment of $4.9 million in BlackRock’s (NYSE:BLK) iShares Bitcoin Trust (NYSE:IBIT), according to a recent 13F filing.

This investment, which is the university’s initial reported holding in a spot Bitcoin ETF, saw the purchase of 105,000 shares of IBIT. The position, which was reported for the first quarter of 2024, highlights the increasing interest from institutions in Bitcoin through regulated financial instruments.

The filing also showed that Brown’s total disclosed equity holdings amounted to $216 million across 14 positions, with the IBIT stake forming approximately 2.3% of the portfolio value.

BlackRock’s IBIT has been a key player in the wave of spot Bitcoin ETFs that received approval from the SEC earlier this year. The ETF, which began trading in January, has quickly become a hit with professional investors.

Several institutions, ranging from hedge funds and pensions to an Ivy League university, have become shareholders in the ETF.

Universities buying Bitcoin

University endowments are typically known for their conservative investment strategies, often preferring indirect exposure or avoiding digital assets altogether. However, Brown’s move may indicate a change in institutional risk tolerance towards regulated Bitcoin products.

Earlier this year, the University of Austin launched a $5 million Bitcoin fund as part of its $200 million endowment strategy. The fund, which was created in partnership with Unchained, saw the crypto management firm managing custody of the Bitcoin holdings.

The university, which planned to hold the Bitcoin for at least five years, viewed it as a long-term asset similar to stocks or real estate.

Other universities, including Emory and Stanford, also gained exposure to Bitcoin through investments in Grayscale's (OTC:GZSC) Bitcoin Mini Trust and BlackRock's iShares Bitcoin ETF.