Some endowment funds are attempting to allocate Bitcoin and Ethereum to cope with declining returns from traditional assets.

The decline in expected returns from traditional assets has prompted some endowment funds and foundations to test investments in bitcoin and ethereum to achieve portfolio diversification. Investment managers have stated that the decrease in returns from traditional assets may impact the sustainability of payout models, driving institutions to experiment with higher-risk investment strategies. Some major universities, such as Harvard University and Brown University, have already started using bitcoin and ethereum ETFs as small-scale, high-volatility investments, indicating that digital assets have entered the mainstream institutional investment toolkit.