The most recent crash in the digital asset market has left a high-profile victim at the institutional level. Harvard, according to their latest filing with the SEC, has seen its iShares Bitcoin Trust ETF position sitting $40 million underwater, despite a brief rebound.
The renowned institution had drastically increased its participation in the ETF during the last quarter of the year, reaching nearly $500 million.
The most recent market slump, with Bitcoin retreating more than 20% this quarter, has left its mark across the entire industry, including Wall Street firms and retail investors.
The $40M Loss in Harvard’s Bitcoin Holdings is of an unrealized or “paper” nature, as the university maintained its position while prices slid and traders faced heavy liquidations across exchanges.
Had the university liquidated its positions in early October, it could have walked away flat or with a small gain. Under the most optimistic scenario, assuming the 4.9 million shares bought in the last quarter were acquired at the lowest price in July, the university would have spent close to $294 million on shares now worth approximately $255 million, translating to a 14% loss.
Crypto Risk in the Context of a Mega-Fortune
While a $40M Loss in Harvard’s Bitcoin Holdings sounds alarming, in practice it barely affects its coffers. The institution manages the largest university endowment in the United States, valued at $57 billion. As such, its Bitcoin position, reported up to September 30, represented less than 1% of its total assets.
The true significance of this setback is how it underscores the deep and growing integration of Bitcoin within large institutional portfolios. Large capital continued to flow into the ETFs even after prices surpassed historical records ($126,000 before the 2025 correction).
It is worth noting that Harvard is not the only institution with exposure. Other universities such as Brown and Emory also disclosed Bitcoin ETF holdings, although at much lower levels. Brown reported approximately $14 million and Emory disclosed about $52 million.
In summary, for long-term investors, such as endowments and pension systems, paper losses do not always force action, as many have experienced extreme crypto swings before. Ultimately, Harvard’s position remains tied to Bitcoin’s next move.