Bitcoin price drops abruptly. Has Strive deployed Warren Buffett’s Elephant Gun just now?

Warren Buffett: America’s beloved investor, part-time Bitcoin haterSometimes, Berkshire Hathaway’s huge cash stash is referred to as “elephant gun.” Buffett’s company is a massive company with a lot of cash and assets. This means that if he wants to make measurable progress in his investment portfolio, he will have to acquire. Supersized.

Bitcoin treasury companies are coming to the same conclusion: If you want to go big, then don’t settle for lessEven when bitcoin prices fall and make life hard for BTCTCs. Making a dent on the race to corporate bitcoin -slash- We think we can carve out some nice pieces of the future financial landscape. Bitcoinizing finance You need to produce Lots of bitcoinEven Nakamoto’s $679-million purchase Only 5,000 BTC was given to them.

Buffett has a problem in that most supersized businesses are priced efficiently, so it’s hard to outperform them. The Bitcoin Treasury Scene isn’t Very efficient (yet?) It is hard to understand how a Bitcoin pot that’s listed on the stock market can be traded for anything less than its current bitcoin value. I get itDiscounted future banking options, ability to maintain financial engineering yourself in a bigger pile). Our beloved BTCTCs are now a thing of the past. the same problem Buffett has.

“Every day I wake up thinking, ‘crap, I gotta get to work because the Metaplanet people will outpace me'” – Michael Saylor, Sept 17, New York City

Bitcoinland is a place where we keep things exciting. This morning’s macro news showed gold at all-time highs. Metaplanet, Strategy You can also find out more about the following: Capital ₿ The bitcoin price dropped abruptly by 5%, causing massive coin gobbling that was not well timed. liquidation event for crypto This is the year.

You can also read about how to get in touch with us. The first in a long line of predictable bitcoin Treasury companies acquisitions has taken place.

Semler ScientificNASDAQ: $SMLR(), a healthcare company that has become a bitcoin-treasury with 5,021 BTC The company’s balance sheet shows that it has traded at a price below its market bitcoin for several weeks, which is a good target to acquire, since it allows any player large enough to do so (to buy 5 021 BTC, it costs roughly 4,400 BTC). Thus, the financial-engineering flywheel ability Semler had lost its appeal and the Bitcoin manager would need to use actual cash to accumulate more sats. (Some one-quarter The bitcoin treasury businesses are now in this position.

In came Strive (NASDAQ: $ASSTThe’s is a shortened form of the’s all-share acquisition deal Takeover the business You can also read about how to get in touch with us. The company purchased 5,886 Bitcoins for its own use (and was instantly in the red by about 3% after burning $20 million). bad timing). The press release for the deal cites It is a little misleading to use this example. “210% premium” The figure is all around Twitter):

“Semler shareholders will receive 21.04 Class A common shares of Strive for each Semler share, valuing Semler at $90.52 per share, a premium of more than 210% to its Friday close.”

Semler Scientific stock (NASDAQ: $SMLR) In the early morning, shares of the company shot up by almost 30%, only to give most of this gain back, and at press time, they were sitting with a +11%. The typical way financial markets work is that the buyer in hubris overpaid for an acquisition. Strive (NASDAQ: $ASST) You can see the full list of our products here. It is a good idea to use Today’s share price drops by up to 11%.

Strive’s own shares are overvalued (its mNAV stands at a value of -$1.50). 3-8 range., depending upon dilution), then the real Bitcoin-value that SMLR investors receive is roughly aligned Wall Street has traded that stock in the morning. When you pay with air, there’s no arbitrage premium! Strive’s price at the time of purchase. they unlock later It is impossible to know what this year will bring. Also, we love our beloved Matt Levine at Bloomberg Call the Trade in July 

“eventually there will be stock-for-stock mergers of Bitcoin treasury companies. The ones that trade at lower premiums will sell to the ones that trade at higher premiums.”

…which he reminded everyone about in his newsletter today.

You can also find out more about the NYC Unconference treasury event last week, I spoke to someone who definitely had knowledge of this deal — they shared nothing; I received no MNPI — but they seemed oddly unfazed by the fact that many treasury companies trade below the value of their bitcoin holdings. It’s only natural that I would be calm if I were aware that an elephant-hunter had closed a high-value deal with my undervalued business.

Semler’s 17.051,000 is fully diluted. shares gave it a market capitalization of just below $500 million per Friday’s close… but its Bitcoin Bitcoin’s price has plummeted today, and the holdings of Strive on Friday were valued at $580,000,000 (about $564,000,000 as press time). With each common share of SMLR turning into 21.05 ASST shares, Strive is forking over some $1.4 billion of paper for the privilege of owning Semler — with $564 million being pure, market-value bitcoin and the remainder for the cash-flow positive business that is Semler Scientific. At free cash flow of about $49 million last year, that spits out a price-to-free-cash-flow of about 17 for Semler’s operating business. Look up the valuations for other health care companiesIt seems to be reasonable. 

Of course, it raises the question as to why SMLR shares were changing hands at $29 on Friday if $90 would have been a reasonable value… and Mr. Levine has the snarky answer for us: 

“Wouldn’t it be more efficient for Strive to sell that $1.3 billion worth of stock for cash and use the cash to buy $1.3 billion worth of Bitcoin, roughly twice as much as it’s getting in this merger? Why wouldn’t it just do that? Ahahaha no I’m kidding I know why. These days it is harder than it used to be to sell $1 worth of Bitcoin for $2 on the stock market, but it’s easier if the buyer is also a crypto treasury company.”

See how we do. exact details We may be tired, but we’re not bored. 

BTC Inc., the parent company of Bitcoin Magazine, shares ownership with Nakamoto. BTC Inc has also entered into a contract with Nakamoto for marketing services.

Bitcoin for Corporations is a group that includes Semler Scientific (SMLR) ($SMLR), Strive ($ASST), and other corporations. BTC Inc. is a company that shares ownership with Bitcoin Magazine. Bitcoin For CorporationsA platform focusing on the adoption of Bitcoin by corporations.