Harvard flips the script: Bitcoin down 20%, $86.8M buy in Q4 2025 Enters Ethereum market.

TLDR:

Harvard Management Company trimmed nearly 1.5 million shares of the Bitcoin ETF, reducing its position by about 21% in Q4 2025.
HMC bought nearly 4 million shares of the Ethereum ETF for $86.8 million, marking its first exposure to the asset class.
Bitcoin fell from $126,000 to $88,429, while Ethereum lost 28 percent of its value in the quarter, according to Harvard's ranking.
UCLA and University of Washington finance professors criticize Harvard's crypto strategy, valuation questions and portfolio risk management.

Harvard Management Company sold 20 percent of its Bitcoin holdings in the fourth quarter of fiscal year 2025 when it made an $86.8 million bet on Ethereum.

The offering offset nearly 1.5 million shares of the iShares Bitcoin Trust but opened a new position in the Ethereum exchange-currency fund.

Securities and Exchange Commission filings released Friday confirmed the moves. Bitcoin remains Harvard's largest publicly disclosed holding, valued at more than $265 million.

Harvard changes crypto strategy with Ethereum entry

Harvard Management Company's $86.8 million purchase of Ethereum marks its first exposure to the asset.

The fund acquired nearly 4 million shares of the Ethereum ETF, a cryptocurrency Harvard has never held before.

The move saw bitcoin trimmed by 1.5 million shares, signaling a broader correction in the digital asset space.

The quarter has been tumultuous for both cryptocurrencies. In October 2025, Bitcoin peaked around $126,000 before sliding to $88,429 by the end of the quarter.

Ethereum has been on a downward spiral, dropping roughly 28 percent in value over the same period. Harvard's entry into Ethereum during this bearish period suggests that the fund sees long-term opportunity despite short-term losses.

Financial experts, however, have raised questions on both activities. Andrew F., professor of finance at the University of Washington. Siegel called Bitcoin investing entirely “risky.”

He pointed out that it has declined significantly from year to year and argued that the property is trying to maintain its value from time to time.

“It's down 22.8% year over year,” Siegel wrote. “It could be argued that Bitcoin's risk stems in part from its lack of intrinsic value.”

His comments cast doubt on whether the endowment's crypto exposure is consistent with its long-term financial responsibilities.

Harvard Shifts From Key Holdings, Tech Exposure

Avanidar Surahmaniam, professor of finance at UCLA, extended his criticism to Harvard's new position on Ethereum.

He has previously questioned Bitcoin investment and stated that his concerns have since been justified. His recent comments about Ethereum bets have suggested the same.

“In my view, any split position in something as speculative as crypto doesn't make sense for HMC,” Surahman wrote. “If I ask them how BTC or Ethereum are valued, I doubt I'll get an accurate and precise answer.”

He added that he once again questioned the wisdom of investing in Ethereum after raising alarms about Bitcoin earlier.

Outside of cryptocurrencies, Harvard Management Company has made several notable portfolio changes. Following the railroad's merger with the Norfolk Southern, it opened a $141 million stake in the Union Pacific Corporation.

Surahmaniam acknowledged this particular move, saying Union Pacific's investment “could be valuable” to the university in terms of the proposed transcontinental rail network.

In addition, Harvard was awarded by Light & Wonder, Inc. 1.1 million shares in Maze Therapeutics Inc. He liquidated his existing 92,000-share position and completely vacated two positions.

On the technology front, Broadcom is up 222 percent in its portfolio, while Google and Taiwan Semiconductor are up 25 percent and 45 percent, respectively.

Amazon, Microsoft, and Nvidia each saw declines of 36 percent, 21 percent, and 30 percent. “The market is generally scared of AI right now because it's so new and so expensive to train and deploy,” says Siegel.

Harvard's directly held public equity portfolio is down about $25,000 from the previous quarter, making up just a fraction of the university's $56.9 billion endowment.