AFAIK it is not started yet, so Harvard is not invested in them at this moment. It's a bit misleading imo.
Anyway, the one who (reported) going to invest in this token sale is Harvard Management Company, not the university itself. They're mainly an organization which aims to provide funds for Harvard if I get it correctly.
Interesting that they are okay with 'gambling' their money through a token sale like this.
Yes it seems like that, they are "just" funding the university.
Indeed it's a little bit strange they are putting their money out like that, if it was 2017 maybe would have been kind of ok, you may have made something out of it.
It could also be they have some information not everybody is aware of about this project.