- Semler Scientific, a medical device maker, announced it had purchased $40 million worth of Bitcoin (581 BTC) as its primary treasury reserve asset, believing Bitcoin will produce outsized returns as an inflation hedge similar to gold.
- Semler’s stock (SMLR) surged 33% following the announcement, as the company joined the trend of small-cap firms adopting Bitcoin to kickstart growth, following the footsteps of MicroStrategy and others.
- Semler cited the approval of Bitcoin spot ETFs as validating future institutional adoption of Bitcoin, which influenced their decision to make BTC their principal treasury holding.
Semler Scientific has become the latest small-cap firm to adopt Bitcoin as its primary treasury asset, revealing a promising trend among companies aiming for growth.
Semler Scientific Announces Bitcoin Purchase
Medical device maker Semler Scientific announced on Tuesday that it had purchased 581 BTC for $40 million. The company believes Bitcoin has potential for “outsized returns” as digital gold.
Immediately after the news, Semler’s stock surged 33% to $31.08 per share. The company’s market cap is now $216 million.
Other Firms See Growth After Bitcoin Adoption
Since MicroStrategy announced its first Bitcoin purchase in 2020, the company’s stock has surged over 1000%.
Likewise, the Japanese real estate firm Metaplanet has nearly tripled in value since unveiling its Bitcoin strategy less than two months ago. On Tuesday, Metaplanet announced it would purchase another 250 million yen ($16 million) worth of BTC.
Institutional Adoption Validates Bitcoin
Semler noted the Bitcoin ETF‘s approval played a role in its decision, validating future institutional adoption.
After the ETF’s launch, Semler concluded Bitcoin would be the most productive investment for excess cash from its medical devices.
Bitcoin as Principal Treasury Holding
Bitcoin will be Semler Scientific’s main treasury asset going forward, subject to market conditions and cash needs.
Conclusion
A growing number of small firms are adopting Bitcoin as their primary treasury asset. This signals increasing mainstream acceptance of Bitcoin as a store of value asset.
