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Semler Scientific Announces Bitcoin Treasury Strategy from Investing.com
Semler Scientific (NASDAQ:), Inc. (Nasdaq: SMLR) today announced that its board of directors has adopted bitcoin as its primary treasury reserve asset. Additionally, Semler Scientific announced that it had purchased 581 bitcoins for a total amount of $40 million, including fees and expenses.
“Our bitcoin treasury strategy and bitcoin purchasing underscore our belief that bitcoin is a reliable store of value and an attractive investment,” said Eric Semler, president of Semler Scientific. “Bitcoin is now a major asset class with more than $1 trillion in market value. We believe it has unique characteristics as a scarce and limited asset that can serve as a reasonable hedge against inflation and a safe haven amid the global instability. We also believe that it is digital, the architectural resilience makes it preferable to gold, which has a market value of about 10 times that of bitcoin. Given the gap in value between gold and bitcoin, we believe that bitcoin has the potential to generate exceptional returns as it gains increasing acceptance as digital gold.
“Additionally, we are energized by the growing global acceptance and “institutionalization” of bitcoin, reflected most recently by the Securities and Exchange Commission’s approval in January 2024 of 11 bitcoin exchange-traded funds. These funds have seen more of $13 billion in net inflows, with investments by nearly 1,000 institutions, including global banks, pensions, foundations and registered investment advisors, it is estimated that more than 10% of all bitcoins are now held by institutions.” Semler added.
Semler Scientific’s board of directors and senior management have spent considerable time examining potential uses of cash, including acquisitions. “After studying various alternatives, we decided that holding bitcoin would be the best use of our excess liquidity,” Semler said.
Along with its bitcoin treasury strategy, Semler Scientific will continue to focus on its core medical products and services. “We remain committed to our customers and our goal of operating a growing, profitable healthcare company,” said Doug Murphy-Chutorian, MD, chief executive officer of Semler Scientific. “We are focused on maintaining sales of QuantaFlo® for peripheral arterial disease testing, while seeking new 510(k) clearance from the FDA with expanded labeling for use as an aid in the diagnosis of other cardiovascular diseases.”
As Semler Scientific continues to generate revenue and free cash flow from sales of QuantaFlo, it will proactively evaluate the use of excess cash. Bitcoin will serve as Semler Scientific’s primary treasury on an ongoing basis, subject to market conditions and Semler Scientific’s anticipated liquidity needs.
More information about Semler Scientific’s bitcoin treasury strategy will be posted on its website at www.semlerscientific.com.