Semler Scientific Adopts Bitcoin as Primary Treasury Reserve Asset, Shares Surge
Semler Scientific, a relatively unknown medical technology company, made headlines on Tuesday as its shares surged following the announcement that it has adopted bitcoin as its primary treasury reserve asset. This move, reminiscent of MicroStrategy’s strategy, has caught the attention of investors and industry experts alike.
In a bold move, Semler purchased 581 bitcoins for approximately $40 million, including fees and expenses. This decision propelled the company’s stock price up by 37% on Tuesday, despite bitcoin trading slightly lower. With a market capitalization of around $210 million, Semler has seen a decline of over 30% this year.
Eric Semler, the chairman of Semler Scientific, expressed confidence in the company’s bitcoin treasury strategy, stating, “Our bitcoin treasury strategy and purchase of bitcoin underscore our belief that bitcoin is a reliable store of value and a compelling investment.” He emphasized the unique characteristics of bitcoin as a scarce and finite asset that can serve as an inflation hedge and safe haven in times of global instability.
By aligning itself with MicroStrategy’s approach, Semler aims to capitalize on the potential for significant returns as bitcoin gains wider acceptance as digital gold. This move places Semler in the same league as other companies like Tesla and Block, which also hold bitcoin on their balance sheets.
Despite the growing interest in corporate adoption of bitcoin, regulatory uncertainty and environmental, social, and governance (ESG) considerations continue to pose challenges. However, with bitcoin up 60% this year and trading near its all-time high, the trend of companies diversifying their treasury reserves with cryptocurrency may continue to gain momentum in the future.
