Semler’s Latest Bitcoin Buy Adds 303 BTC to Treasury Now Worth $184M

Highlights:

• Semler Scientific has expanded its Bitcoin holdings to 1,873 BTC now worth $184 million.
• Semler’s BTC Yield has grown 78.7 percent since July, showing strong results from its Bitcoin strategy.
• Bitcoin Yield enables companies to decrease their reliance on traditional financing like the selling of shares

Semler Scientific, a California-based healthcare company, has made another major Bitcoin purchase as part of its treasury strategy. The company bought 303 Bitcoin between 25 Nov and 4 Dec 2024 for $29.3m. The cost of the purchase included fees and expenses, averaging $96,779 per Bitcoin.

JUST IN: Semler Scientific adds 303 more #Bitcoin to its treasury, bringing its total value to over $180M!

— Breaking Whale (@BreakingWhale) December 6, 2024

The company has been steadily accumulating Bitcoin throughout the year. The company acquired 215 Bitcoin earlier in November. These purchases indicate an increasing number of publicly traded companies taking up Bitcoin as a strategic asset. 

Semler Total Bitcoin Holdings

Following its latest acquisition, Semler now has a total of 1,873 BTC in its Bitcoin holdings. They are worth roughly $184 million at current prices. The company has spent a total of $147.1 million to acquire its total holdings. They spent an average of $78,553 per coin. 

This accumulation makes Semler one of the biggest Bitcoin holders amongst the corporate holders. It is ranked at number 14 among public companies behind companies like MicroStrategy and Marathon Digital. 

Semler finances its Bitcoin purchases through the issuance of additional shares of common stock. With this approach, the company is able to keep its cash intact while increasing its cryptocurrency holdings slowly. The strategy is based on its belief in Bitcoin as a store of value and inflation hedge. 

BTC Yield Shows 78.7% Growth

Semler measures the performance of its Bitcoin strategy with a proprietary metric called BTC Yield. This dynamic metric is designed to measure the change in the holding ratio of Bitcoin versus diluted outstanding shares. This allows for a complete view of the returns from its treasury strategy. 

The company has reported a major growth in this metric since adopting the strategy in mid 2024. Semler recorded a 78.7% increase in BTC Yield between July 1 and December 4, 2024. The BTC Yield metric acts as a key performance indicator for the company. It measures the success of its Bitcoin investments versus shareholder equity. Semler believes the indicator can help investors better understand its financial strategy and its overall performance. 

Growing Use of Bitcoin Yield

Eric Semler, the chairman of the company has expressed satisfaction with the results, saying the company is very pleased with the BTC Yield. He believes this strategy will continue to benefit shareholders in the long term. The company also plans to use BTC Yield to justify its decision to fund Bitcoin purchases by issuing additional shares of stock. The firm hopes this approach will be beneficial to its stockholders over time.

Following the announcement, the company stock rose to its highest peak in six months but has corrected to 58 USD. The company’s stock has increased by over 30% since adopting Bitcoin as a strategic reserve in May. 

Bitcoin yield has become an important instrument for businesses to diversify their investment capital and generate additional returns. Companies like MicroStrategy have already been able to integrate Bitcoin into their treasury strategy. It allows companies to decrease their reliance on traditional financing like the selling of shares. This gives them more financial flexibility and stability.