By Chris Wack

Semler Scientific shares were up 29% to $30.10 after the company said its board of directors has adopted bitcoin as its primary treasury reserve asset.

The health technology company said Tuesday it purchased 581 bitcoins for a total amount of $40 million, inclusive of fees and expenses.

Bitcoin was trading at $67,705 at 12:35 p.m. EDT, down 4% in the past 24 hours.

"Our bitcoin treasury strategy and purchase of bitcoin underscore our belief that bitcoin is a reliable store of value and a compelling investment," said Eric Semler, Semler Scientific's chairman. "We believe that bitcoin has the potential to generate outsize returns as it gains increasing acceptance as digital gold."

Semler Scientific said its board and senior management studied potential uses of its cash, decided that holding bitcoin would be the best use of its excess cash. The company will continue to evaluate its use of excess cash.

Write to Chris Wack at

(END) Dow Jones Newswires

05-28-24 1302ET