The University of Austin is making major moves in institutional Bitcoin adoption, planning to launch a dedicated Bitcoin investment fund.

This initiative reflects the increasing interest among US institutions to adopt Bitcoin and other digital assets.

University Endowment Funds Increasingly Embrace Crypto

Latest reports reveal that the University of Austin, established just a year ago, is raising a $5 million Bitcoin fund as part of its $200 million endowment. This move positions it as the first institution in the US to introduce a dedicated crypto endowment fund.

Chad Thevenot, the university’s senior vice president for advancement, stated that the Bitcoin holdings will remain untouched for at least five years. He likened Bitcoin’s long-term value to traditional investment assets such as real estate and equities.

“We think there is long-term value there, just the same way that we might think there is long-term value in stocks or real estate,” Thevenot explained.

While this marks a significant step in institutional crypto adoption, Austin is not alone. Last year, Emory University invested over $15 million in Bitcoin through Grayscale’s spot Bitcoin exchange-traded fund (ETF). It was the first endowment to gain direct exposure to the leading cryptocurrency.

Historically, endowments have maintained a conservative stance on cryptocurrencies, largely avoiding them. However, shifting regulatory landscapes and increasing acceptance of digital assets are encouraging a change in strategy.

Why Are Endowment Funds Turning to Bitcoin?

The growing pro-crypto stance of the US government has played a role in accelerating institutional interest. A recent executive order focused on strengthening leadership in digital finance is paving the way for broader blockchain adoption. This initiative promotes responsible growth in the digital asset sector.

A key part of this policy is the President’s Working Group on Digital Asset Markets, led by newly appointed crypto and AI czar David Sacks. The group is tasked with developing a regulatory framework for digital assets, including stablecoins, while also exploring the creation of a national digital asset reserve.

As a result, endowment funds are trooping into the emerging sector. For context, the Rockefeller Foundation, managing $4.8 billion in assets, has hinted at increasing its exposure to cryptocurrencies.

The foundation has previously invested in crypto-focused venture funds but is now considering deeper involvement, especially as broader market adoption gains momentum.

Chun Lai, the foundation’s chief investment officer, acknowledged the uncertainties surrounding Bitcoin’s long-term trajectory. However, he emphasized the risk of missing out on substantial opportunities if the foundation does not take action.

“We don’t have a crystal ball on how cryptocurrencies will become in 10 years. We don’t want to be left behind when their potential materialises dramatically,” Lai said.

Market observers noted that the increasing integration of Bitcoin into institutional portfolios highlights its growing appeal as an alternative asset.

So, as regulatory frameworks become clearer, more institutional investors will recognize digital assets as viable components for their traditional financial portfolios, which would further cement Bitcoin’s role in mainstream finance.

Hong Kong authorities have reportedly recognized Bitcoin and Ethereum as valid proof of assets for investment immigration applications.

This milestone move signals the region’s increasing openness to digital assets in its financial system.

Hong Kong Paves the Way for Crypto Investors in Immigration Applications

According to reports from Colin Wu, the Hong Kong government has approved at least two applicants who used Bitcoin and Ethereum to meet the investment immigration threshold.

Xiao Yaohe, an accountant, revealed that one of his clients secured approval from the Hong Kong Investment Promotion Agency by presenting Ethereum, valued at HK$30 million (approximately $3.8 million), as proof of assets.

Another applicant, whose request was approved in October 2024, used Bitcoin to meet the requirement. While specific details remain undisclosed, sources suggest both applicants may be from mainland China.

These approvals mark a turning point for cryptocurrency adoption in Hong Kong’s immigration policies.

Authorities confirmed that they reached these decisions after extensive internal discussions. They also disclosed that two more individuals had submitted cryptocurrency holdings as part of their application processes.

To be eligible for investment immigration, applicants must prove they own at least HK$30 million ($3.85 million) in assets and commit to investing the same amount in Hong Kong within six months.

The government requires that crypto assets be stored in cold wallets or held on reputable exchanges such as Binance.

Historically, investment immigration in Hong Kong has primarily revolved around stocks. However, it remains unclear whether direct cryptocurrency investments or crypto-based exchange-traded funds (ETFs) will qualify under these new approvals.

Successful applicants initially receive a two-year visa, which requires three renewals before obtaining permanent residency. Authorities will monitor asset holdings throughout this period to ensure compliance.

This move reflects Hong Kong’s ambition to strengthen its position as a global hub for digital finance. Over the years, the city has prioritized regulatory frameworks for stablecoins and crypto exchanges to its leadership in Asia’s digital asset sector.

A Beijing court has sentenced Hao Gang, a former deputy director of the Beijing Financial Bureau, to 11 years in prison for bribery and Bitcoin-related money laundering.

The ruling marks another significant step in China’s crackdown on financial misconduct linked to cryptocurrency.

China Cracks Down on Bitcoin-Linked Corruption

The court reportedly delivered its verdict on Thursday, February 6, after a two-year probe into Gang’s activities. Investigators found that he accepted tens of millions of yuan in bribes to assist Bitcoin mining firms facing regulatory challenges.

Local reports also indicate that he helped a senior executive from a major mining company evade travel restrictions in exchange for illicit payments.

The court initially handed separate sentences—eight years for bribery and four for money laundering—but later merged them into an 11-year prison term. In addition to the jail time, Gang received a fine of RMB 1.3 million ($164,662).

Also, officials confiscated his illegally obtained earnings, redirecting them to the state treasury.

Hao Gang played a significant role in Beijing’s financial sector before the investigation into his activities began. His conviction reflects China’s strict stance against financial misconduct tied to Bitcoin. The ruling also signals an ongoing crackdown on corruption within the sector.

This case follows a similar high-profile sentencing. Last year, Chinese authorities sentenced a government worker to life in prison for selling classified information to a foreign intelligence agency. The individual, reportedly drowning in debt from failed crypto investments, resorted to espionage in exchange for digital assets.

Over the years, Chinese regulators have strengthened restrictions to curb illegal crypto transactions, aligning with the government’s long-standing stance against speculative investments in digital currencies.

However, China’s approach to cryptocurrency regulation remains inconsistent. While one ruling classified crypto trading as gambling, a prior High Court decision acknowledged digital assets as legal property.

This contradiction reflects the government’s struggle to maintain financial stability while adapting to the changing digital economy.