Crude propolis was effectively solved in 70% ethanol because of its resinous nature. It is only possible to get benefit from propolis by preparing its extract. This situation limits the use of crude propolis as food additives. In the present study, ethanol extract of propolis was encapsulated by using sodium-alginate. Production of propolis-alginate beads was standardized. Obtained beads were characterized with Fourier Transform-Infrared Spectroscopy and Scanning Electron Microscopy. The release properties of the beads in simulated gastric and intestinal systems were evaluated. Taking the previous studies into consideration, this is the first paper reporting the encapsulation of ethanol-based propolis extract by solving sodium alginate in 30% ethanol-water mixture. The bead's size was found in between 500 and 800 mu m by SEM analysis. In vitro release study showed that alginate-propolis beads were completely destroyed at pH 7.40. This work may contribute to the utilization of propolis active ingredients as food additive.