Head of Galaxy Digital, Mike Novogratz, shared that institutions are often hesitant about venturing into crypto sectors. However, signs suggest this might be changing. exclusive report Bloomberg's revelations indicate that the University of Michigan, which manages a substantial $12 billion endowment, is set to significantly increase its contributions to crypto-focused vehicles, even amidst market volatility. the Bitcoin price .
$12 Billion University Fund Eyes Expansion in Blockchain Endeavors
Documents from a recent Board of Regents meeting at the University of Michigan suggest they are eyeing a major fund aimed at blockchain advancements, managed by the esteemed Andreessen Horowitz.
Kevin Hegarty, the institution’s financial officer, noted that the CNK fund targets companies rooted in 'cryptonetwork technology', spanning various stages from inception to growth. It's unclear if direct investments in cryptocurrencies like Bitcoin are on the agenda. Ethereum , or not.
The endowment previously committed $3 million to CNK last June and is keen to pour additional liquid assets into this venture with Andreessen Horowitz. The specifics of this potential investment are anticipated discussions at upcoming meetings.
Which Other Universities Are Venturing into the Crypto Sphere?
Although this news is significant, it's merely a fraction of the unfolding saga linking university endowments, pension schemes, and crypto/blockchain assets.
Back in October 2018, a revelation shocked the Bitcoin community: David Swensen, a respected investor, led Yale's considerable $29.4 billion endowment to engage in crypto ventures, mirroring Michigan's current endeavors.
Shortly thereafter, sources revealed that prestigious institutions like Harvard, Stanford, and MIT had also ventured into cryptocurrency-oriented investments. divulged This trend follows a Boston consultant's call for institutions, particularly pensions and endowments, to consider entering the crypto realm.
Experienced Consultant Encourages Pension Funds and Endowments to Embrace Crypto Opportunities
According to Blockonomi, Cambridge Associates, a firm intertwined with high-valued funds such as pensions and endowments, informed its clients it's time to consider long-term commitments to promising crypto ventures. Despite potential high risks, they believe these innovations could revolutionize the digital space. previous reports For those curious about diving in, the analysts advised devoting significant time to understanding this sector's intricate details, including investment channels and the transformative capabilities of blockchain.
To soothe skeptical potential investors concerned by 2018’s downturn, they added:
“The severe declines witnessed in the crypto market led to doubts about the assets' future and their foundational blockchain technology. However, when viewing the broader landscape, we observe an evolving industry moving forward.”
As an industry insider since 2013, my writings and insights have been spotlighted in renowned publications like LongHash, NewsBTC, and Decrypt. Apart from writing, I contribute to HTC's EXODUS team and own a modest amount of Bitcoin. For inquiries, reach out at [email protected]
