Semler Scientific secures $20 million loan collateralized by Bitcoin

Semler Scientific, Inc. has borrowed $20 million in cash under a master loan agreement with Coinbase Credit Inc., according to a statement released Friday by Strive, Inc. (NASDAQ:ASST) in a filing with the Securities and Exchange Commission. Strive, currently valued at $141 million, has shown remarkable market performance with a 460% year-to-date return. InvestingPro data reveals the company maintains a healthy current ratio of 4.74, suggesting strong short-term liquidity position.

The loan, executed on Thursday, is collateralized by Semler Scientific’s Bitcoin holdings. According to the agreement, the interest rate on the loan is 10%, with an initial margin requirement of 156.25%. The loan is scheduled to mature on March 26, 2026. If Semler Scientific chooses to repay the loan before maturity, it will be required to pay an early termination fee equal to the full amount of all remaining interest through the term of the loan.

Under the master loan agreement, Semler Scientific may borrow cash or digital assets from Coinbase Credit, with each loan collateralized by Bitcoin or other eligible assets. The agreement includes minimum margin requirements based on the value of the Bitcoin collateral. If the value of the collateral falls below the required margin, Semler Scientific would be required to provide additional Bitcoin or other eligible collateral to Coinbase, or reduce or repay the loan amount. The company will pay a monthly loan fee to Coinbase based on the outstanding balance, as specified in the agreement.

Semler Scientific stated it intends to use the proceeds from this loan, along with cash from operations, to pay in full its previously disclosed settlement with the U.S. Department of Justice. The company has demonstrated strong revenue growth of 112% in the last twelve months, according to InvestingPro data, suggesting improving operational performance despite these legal challenges.

The loan was disclosed as part of ongoing merger proceedings between Strive, Inc. and Semler Scientific, as previously announced. The information in this article is based on a press release statement filed with the SEC.

In other recent news, Strive, Inc. has been active with significant developments. The company filed financial statements and pro forma data with the SEC regarding its pending all-stock acquisition of Semler Scientific, Inc. This merger, unanimously approved by both companies’ boards, is subject to customary conditions. In another major development, Strive completed its merger with Asset Entities, securing approximately $750 million in equity financing, with the potential to raise a total of $1.5 billion through the exercise of warrants. Shareholders of Asset Entities approved the merger with Strive Enterprises, marking a key step toward forming a Bitcoin treasury company. The SEC also approved Asset Entities’ registration statement related to this merger, enabling a special shareholder meeting to vote on the proposals. These recent developments reflect the company’s strategic efforts to expand its financial and operational footprint.

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