Semler Scientific, a California-based medical technology company, recently announced the purchase of an additional 247 bitcoins for $17 million in cash. This brings their total bitcoin holdings to 828 BTC, acquired for a total of $57 million. The company also revealed plans to raise $150 million to further increase their bitcoin holdings in the future, aligning with their corporate expansion strategy.
Semler Scientific emphasized the growing acceptance of Bitcoin as “digital gold,” highlighting its potential to generate significant returns in the future. The company believes in the unique attributes of Bitcoin that set it apart from fiat currency and other cryptocurrency assets. As a result, Semler Scientific has made the decision to focus solely on holding Bitcoin as a primary investment, ruling out other cryptocurrencies.
Doug Murphy-Chutorian, MD, the CEO of Semler Scientific, expressed the company’s commitment to their strategy of expanding their healthcare business and accumulating Bitcoin. He underlined Bitcoin as a compelling investment and a reliable store of value, reaffirming the company’s intention to continue purchasing bitcoins with cash. This strategic decision was made after careful consideration of Bitcoin’s potential as an asset class.
Semler Scientific recently shifted its primary asset for holding reserves and excess cash to Bitcoin. The company cited Bitcoin’s scarcity, finite supply, and its role as an inflation hedge and safe haven during global uncertainties as the key reasons behind this strategic move. While the company plans to maintain its profitable healthcare operations, excess cash will be allocated towards purchasing Bitcoin in alignment with market conditions and cash needs.
Semler Scientific’s strategy of accumulating Bitcoin echoes that of MicroStrategy, a software firm that has been actively acquiring Bitcoin since August 2020. MicroStrategy currently holds over 214,000 BTC, valued at over $15 billion, with paper gains close to $7.7 billion. Semler Scientific’s decision to increase their Bitcoin holdings reflects a growing trend among publicly-listed companies to diversify their treasury reserves with cryptocurrency assets.
By strategically increasing their Bitcoin holdings, Semler Scientific aims to capitalize on the potential growth and stability of digital assets in the long term. The company’s forward-thinking approach aligns with the evolving financial landscape and positions them as a key player in the intersection of healthcare innovation and digital investments.