U.S. health tech company Semler Scientific (Nasdaq: SMLR) is accelerating its transformation into a “Bitcoin-heavy enterprise.” On Thursday, the company announced its plan to increase its Bitcoin holdings to 105,000 by the end of 2027—nearly a 28-fold increase from its current 3,808 BTC.
Semler stated that it intends to fund this ambitious accumulation through equity issuance, debt financing, and operating cash flow. The company also appointed Joe Burnett, a seasoned Bitcoin expert and former Head of Research at Unchained, as Director of Bitcoin Strategy to oversee the initiative.
Phased Accumulation Plan
According to the company’s announcement, Semler has set a phased target timeline for increasing its Bitcoin holdings:
- By the end of 2024: 10,000 BTC
- By the end of 2026: 42,000 BTC
- By the end of 2027: 105,000 BTC
If successful, Semler will control approximately 0.5% of the total fixed Bitcoin supply (21 million coins), placing it among the top corporate holders globally. Its current holding of 3,808 BTC already ranks 13th among all publicly listed companies, according to data from BitBo.
Semler made its first Bitcoin purchase in May 2024 and declared Bitcoin as part of its long-term treasury strategy, aiming to enhance financial resilience and hedge against inflation.
Semler is not alone in adopting a Bitcoin-centric approach. In early June, Japanese investment firm Metaplanet announced plans to acquire up to 210,000 BTC by 2027, drawing significant market attention.
Semler’s appointment of Burnett underscores its firm commitment to Bitcoin. Burnett previously held positions at Bitcoin financial services platform Unchained and mining firm Blockware Solutions, and earlier in his career, worked at Ernst & Young (EY). He remarked:
“Corporate adoption of Bitcoin as a financial strategy is clearly accelerating. Semler’s strategy gives it a first-mover advantage.”
Leverage Strategy Raises Dilution Concerns
Despite its ambitious outlook, analysts have flagged potential risks. Matthew Sigel, Head of Digital Assets Research at VanEck, warned that if Semler’s stock price continues to decline, using “at-the-market” share issuance to fund Bitcoin purchases could lead to shareholder dilution and valuation pressure.
“No company has crossed the red line yet, but Semler is getting close,” Sigel said.
According to Google Finance, Semler’s stock has fallen roughly 41% year-to-date and is nearing its pre-Bitcoin acquisition levels. The market remains cautious about the long-term viability of the company’s strategy.
As of June 3, Semler’s Bitcoin holdings had an unrealized gain of $177 million, representing a return of 287%. According to BitcoinTreasuries.NET, the company ranks fourth globally in “BTC per share” at 0.00034, indicating high sensitivity of its stock price to Bitcoin price movements.