In the United States, the vast majority of universities have an endowment fund. These funds, mainly made up of donations, are used to finance education as well as research. In practice, universities are free to invest this money as they wish. For example, it is common to see these endowment funds being mobilized to invest in hedge funds, real estate or commodities.
However, it would appear that these funds have not been insensitive to the call of Bitcoin.
American Universities are getting into Bitcoin
For example, as CoinDesk revealed, several influential universities such as Yale, Harward and Brown have been using part of their endowment funds to invest in Bitcoin for more than a year now, and for more than a year.
Coinbase is cited by the crypto-media industry as the preferred provider for these new types of operations. However, none of the universities concerned, nor Coinbase for that matter, wanted to react to CoinDesk: this information should therefore be considered with the utmost care.
However, according to two sources close to the issue cited by CoinDesk, it would have been more than a year since these universities adopted this strategy:
« Most of them have been investing for at least a year. I think they’re probably going to discuss it publicly later this year. »
In fact, these universities have several billion dollars in management, with Yale leading the way with over $30 billion. Unfortunately, there’s no way of knowing how much of that capital would have been allocated to these crypto-investments… if any.
The next logical step?
Although this announcement may seem surprising, it seems to be the logical continuation of a strategy carried out over several years.
Indeed, as early as 2018, several universities have invested in venture capital funds specializing in cryptomoney. For example, David Swensen, Director of Investments at Yale University, invested in two crypto venture capital funds in 2018.
The same sources also mention the arrival of pension funds in the Bitcoin ecosystem. Yet another proof of the institutional interest in cryptomoney?