The company announced its Bitcoin treasury strategy Tuesday morning.

Semler Scientific (SMLR) announced the acquisition of 581 bitcoins (BTC) for its treasury, resulting in a 25% surge in its stock price during early U.S. trading hours on Tuesday.

Before this price increase, the company had a market cap under $200 million. According to its most recent earnings statement, Semler held $62.9 million in cash and cash equivalents at the end of the first quarter, with first-quarter revenue of $15.9 million and operating cash flow of $6.1 million.

The press release this morning revealed that Semler purchased the 581 bitcoins for $40 million, averaging about $68,850 per bitcoin.

"Bitcoin is now a major asset class with over $1 trillion in market value," stated Chairman Eric Semler. "We believe it possesses unique characteristics as a scarce and finite asset, serving as a reasonable inflation hedge and safe haven amid global instability. Additionally, its digital resilience makes it preferable to gold, which has a market value approximately ten times that of bitcoin."

Following today's 25% gain, Semler's stock has now only declined by 2% year-over-year.