Semler Scientific to Expand Bitcoin Holdings to 105,000 BTC by 2027

Semler Scientific Inc. aims to expand its Bitcoin holdings from 3,808 BTC to 105,000 BTC by 2027, financing this through equity, debt, and operational cash flow. They’ve enlisted Joe Burnett, a former Unchained director, as their Bitcoin strategy head. Amid market challenges, Semler’s shares have fallen nearly 41% this year, though they report a substantial unrealized gain on their Bitcoin investments.

Semler Scientific Inc. has set ambitious plans to significantly expand its Bitcoin holdings, aiming to go from 3,808 BTC to a whopping 105,000 BTC by 2027. This represents an nearly 28-fold increase, and the company expects to reach 10,000 BTC by the end of this year, followed by 42,000 BTC in 2026, before hitting its final target. They are financing this expansion through a mix of equity, debt, and operational cash flow.

The company first dipped its toes into the Bitcoin waters back in May 2024. Since then, Semler has acquired just over 3,800 BTC, placing it among the top contenders in the public sector for Bitcoin holdings—currently ranked the 13th largest, according to research from BitBo. This aggressive Bitcoin acquisition strategy is part of a larger trend of publicly traded firms increasingly prioritising Bitcoin over traditional business operations.

If successful in hitting the 105,000 BTC target, Semler would control about 0.5% of Bitcoin’s capped supply of 21 million. Interestingly, Japanese firm Metaplanet also revealed its ambition on June 9 to amass 210,000 BTC before the end of 2027.

To steer this major Bitcoin initiative, Semler has brought in Joe Burnett as its new director of Bitcoin strategy. Previously, Burnett was director of market research at Unchained, a Bitcoin financial services firm and worked at EY before embracing the Bitcoin industry environment full-time. According to Burnett, the trend toward incorporating Bitcoin as part of corporate treasury strategies is definitely gaining momentum.

However, there are cautionary signals on the horizon. Matthew Sigel from VanEck raised concerns that companies blindly buying Bitcoin should seriously consider reassessing their strategies, particularly if their stock prices plummet. He highlighted the risks associated with using large at-the-market programs for Bitcoin purchases as this may dilute shareholder value when stock prices dip.

As of now, Semler is nearing a critical point—its shares have dipped nearly 41% this year, approaching the price levels seen before it began its Bitcoin buying spree, as per Google Finance.

On a brighter note, Semler has seen a whopping 287% yield from its Bitcoin investments, translating to a staggering unrealized gain of $177 million as of June 3. The firm also boasts the fourth-highest Bitcoin per share at 0.00034 among the 130 public companies with Bitcoin holdings tracked by BitcoinTreasuries.NET. This metric also highlights how much Bitcoin exposure each share offers, potentially impacting overall stock valuations.