The nature of fullerene−water interactions and the role that they play in the fate of C₆₀ in aqueous systems is poorly understood. This work provides spectroscopic evidence for the surface hydroxylation of the initially hydrophobic C₆₀ molecule when immersed in water. This mechanism appears to be the basis for stabilizing the hydrophilic nC₆₀ aggregates in suspension. It is remarkable that such a chemical transformation and dispersion are achieved under mild conditions that are readily produced in an aquatic environment. This acquired affinity for water is likely to play a subsequent role in the reactivity, mobility, and bioavailability of fullerenes in aqueous media.