Key Takeaways
- Semler Scientific adopts bitcoin as primary treasury asset.
- The company purchased 581 bitcoins for $40 million.
- Bitcoin will be Semler's principal treasury holding, alongside its core medical business.
Semler Scientific, Inc. (NASDAQ: SMLR), based in Santa Clara, California, has announced a new bitcoin treasury strategy.
The company’s board has adopted bitcoin as its primary treasury reserve asset, purchasing 581 bitcoins for $40 million, including fees and expenses.
Eric Semler, the chairman of Semler Scientific, emphasized the rationale behind this decision:
Our bitcoin treasury strategy and purchase of bitcoin underscore our belief that bitcoin is a reliable store of value and a compelling investment. Bitcoin is now a major asset class with more than $1 trillion of market value.
He highlighted bitcoin’s potential as a scarce and finite asset that serves as a hedge against inflation and a safe haven during global instability.
Semler pointed out the recent approval of 11 bitcoin exchange-traded funds by the Securities and Exchange Commission in January 2024.
These funds have seen net inflows exceeding $13 billion, with investments from nearly 1,000 institutions, including global banks and pensions.
It’s estimated that institutions now hold more than 10% of all bitcoins.
Doug Murphy-Chutorian, MD, CEO of Semler Scientific, assured that the company’s core focus remains on its healthcare products and services, particularly the QuantaFlo® system for peripheral arterial disease testing.
Despite the shift in treasury strategy, the company will continue seeking new FDA clearances and maintaining its commitment to customers.
Bitcoin will remain Semler Scientific’s principal treasury holding, subject to market conditions and cash needs.
