Strive Inc., formerly an asset manager and now focused on Bitcoin treasury management under the leadership of Vivek Ramaswamy, has announced its intention to acquire Semler Scientific in an all-stock deal. This merger is notable as it positions the newly formed entity amongst the largest corporate holders of Bitcoin.
In a recent announcement, the companies confirmed that Semler shareholders will receive Strive shares in exchange for their stocks. Each Semler share is valued at 21.05 shares of Strive Class A stock, translating to a significant 210% premium over Semler’s stock price prior to the announcement of the merger.
In conjunction with this acquisition, Strive revealed that it recently acquired 5,816 Bitcoin for approximately $675 million, thereby increasing its total holdings to 5,886 BTC. Prior to this move, Strive was a relatively small player in the Bitcoin treasury market, holding just 70 BTC. The merger will enable the combined entity to control over 10,900 BTC, elevating its rank to the 12th largest publicly traded Bitcoin holder, surpassing known firms like Hut 8 Mining, Block Inc., and Galaxy Digital.
Vivek Ramaswamy had previously detailed Strive’s Bitcoin treasury strategy in May, in conjunction with plans for a reverse merger to become public. Semler Scientific, a health technology firm, has been strategically incorporating Bitcoin into its treasury reserves since 2024 and has increased its holdings through several purchases. However, the company reported mixed financial results recently, with a year-over-year revenue decline of 43%, although it still posted a net income of $66.9 million.
The merger between Strive and Semler occurs within a larger trend in the industry where digital asset treasury companies have been amassing substantial Bitcoin reserves, although their focus on other cryptocurrencies such as Ether and Solana remains secondary. Notably, Standard Chartered recently highlighted that this deal may signify a broader pattern of compressed market net asset values (mNAVs) within the sector, potentially increasing financial risks and complicating expansion efforts.
For digital asset treasury firms, mNAV is a measure of a company’s enterprise value in relation to its digital asset holdings. A falling mNAV, particularly below 1, can hinder efforts to expand reserves, especially if such expansions are financed through debt. Standard Chartered has indicated that since June, the mNAV for digital asset treasury companies has been on a downward trend.
In light of this environment, the bank suggests that consolidation within the industry may accelerate, with larger firms equipped to handle market volatility poised to acquire their smaller counterparts. HashKey Capital’s CEO, Deng Chao, has expressed concerns regarding the survival of crypto treasury companies, noting that only those with a long-term strategy are likely to endure market fluctuations. He emphasized the necessity of creating enduring value rather than pursuing short-term profits, stating, “Digital assets themselves are not inherently unsustainable; it is how they are managed that makes the difference.”
