It looks like not only Michael Saylor and his MicroStrategy know what’s cooking. Semler Scientific, the Santa Barbara, California-based healthcare tech company, just announced it has bought an additional 237 Bitcoin, for just over $98,000 per coin.
In a statement from January 13, Semler Scientific said the BTC was bought from operating cash flow as well as the sale of company stock. Their holding of 2,321 Bitcoin is now worth close to $220 million at today’s price.
However, Semler bought the BTC for an average $82,687 per coin at an aggregate cost of $191.9 million.
Read more: Jamie Dimon: Bitcoin is ‘Not Good’ for You, Just Like Smoking
The company also stated that its yield increased from 72.6% to 99.3%. Semler also issued over $120 million of stocks to fund its buying spree.
With regards to “yield”, the company noted:
“BTC Yield is a KPI that represents the percentage change period-to-period of the ratio between Semler Scientific’s bitcoin holdings and its Assumed Diluted Shares Outstanding.”
It should be noted that the “Bitcoin yield” of 99.3% that Semler Scientific report is not a yield in the traditional sense, like dividends or interest from bonds, but rather an expression of the investment’s appreciation relative to the initial cost basis.
In essence, by comparing the BTC Yield against the Assumed Diluted Shares Outstanding, Semler Scientific is looking at how the growth in the value of their Bitcoin holdings stacks up against the potential increase in the company’s shares.
MicroStrategy Also Buys More Bitcoin
MSTR’s founder and chairman, Michael Saylor was the first person to coin the term “Bitcoin yield”. And guess what?
MSTR has just bought another 2,530 BTC, in the latest episode of MicroStrategy Mondays. The company now holds 450,000 coins at an acquisition price of $28.2 billion.
Since Saylor made the first purchase for his company in 2020, the stock of the firm has gained over 2,100%.
At the time of writing MicroStrategy Inc trades for $328.40, down almost 20% over the past month, much in line with Bitcoin, which has dropped below $90k earlier and now trades just under $95k.
Disclaimer
This article is provided for information only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
