The University of Puget Sound announced on Wednesday it had received a donation of 14.5 coins of the digital currency, which it has converted into more traditional dollars.
Nicolas Cary graduated from the university in 2007 and now runs Blockchain, which supports the online currency market. The 27-year-old CEO said he wanted to make the gift in the money that is central to his life and his career.
He believes the donation is the first Bitcoin gift to a U.S. college or university. University officials had a bit of a learning curve figuring out how to accept Bitcoin but a spokeswoman says it spends just like dollars and cents from the U.S. Treasury.
Bitcoin is an open-source currency affiliated with no country or bank. Peer-to-peer trading began in 2009 and it is now accepted by online retailers, other businesses and charities.