Key Takeaways
- KindlyMD, led by CEO and Trump Bitcoin advisor David Bailey, purchased 5,743.91 BTC for $679 million through its subsidiary Nakamoto.
- Bailey reaffirmed KindlyMD’s ambition to accumulate one million Bitcoin as part of its dual role as a healthcare provider and Bitcoin treasury.
- KindlyMD’s move reflects a broader trend of corporate entities growing Bitcoin treasuries.
KindlyMD announced a $5 billion at-the-market equity offering program to raise funds to increase its BTC holdings on Tuesday, as its CEO David Bailey remains bullish on institutional Bitcoin adoption.
However, despite the announcement, shares in the healthcare company dropped over 12%.
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KindlyMD’s $5B Stock Offering
On Tuesday, Aug. 26, KindlyMD, which recently launched a Bitcoin treasury strategy, said it had applied to issue and sell $5 billion worth of common stock,
The firm said the proceeds would be used for Bitcoin accumulation, acquisitions, investments and working capital.
“Following the successful completion of our merger between KindlyMD and Nakamoto just two weeks ago and our initial purchase of Bitcoin, this initiative is the natural next phase of our growth plan,” said Bailey.
The CEO, who also acts as a Bitcoin advisor to President Donald Trump, said the program would be used as a “flexible tool to strengthen our balance sheet, seize market opportunities, and deliver accretive value for our shareholders.”
Following the announcement on Tuesday, shares in KindlyMD dropped 12% by the end of the day.
Bailey Bullish on Bitcoin
On Tuesday, Bailey took to X to claim the offering was a “critical” part of executing the firm’s Bitcoin treasury strategy.
“It’ll take us a while to build the necessary liquidity to complete the program, but it’ll be a critical tool as we execute our strategy,” he wrote.
In response to a question asking if KindlyMD will follow Strategy’s path of being transparent about its ATM program, Bailey wrote :
“Yes. We want to be world class at transparency and governance- we have a lot of immediate items that must be prioritized but over the course of the year we will dramatically improve here,” he wrote.
Bailey recently made headlines when he claimed that there will not be another BTC bear market for several years.
“There’s not going to be another Bitcoin bear market for several years,” he wrote on X.
“Every Sovereign, Bank, Insurer, Corporate, Pension, and more will own Bitcoin,” he added, claiming BTC had not even captured 0.01% of the total addressable market yet.
Bailey added that this was the “first time we’ve ever seen real institutional buy-in,” claiming past buy-ins were “outliers with marginal bets.”
“They’re now flowing in with size. Eternal September of institutional adoption,” he wrote.
KindlyMD Purchases Bitcoin
On August 20, KindlyMD announced a massive $679 million BTC purchase under the leadership of its CEO and Chairman, David Bailey, an advisor to Donald Trump on digital asset policy.
Through its subsidiary, Nakamoto, KindlyMD acquired 5,743.91 BTC at an average price of $118,204.88 per coin.
The purchase represents KindlyMD’s first major Bitcoin acquisition since completing its merger with Nakamoto Holdings in late July.
The merger transformed the healthcare provider into a dual-focused company, delivering integrated medical services while also operating as an institutional-grade Bitcoin treasury vehicle.
According to the company press release , funding for the purchase was accumulated through proceeds of a private investment in public equity (PIPE) and debt financing.
The healthcare facility also completed a $200 million senior convertible note offering on Aug. 15 with Yorkville Advisors, which was intended for additional Bitcoin purchases.
KindlyMD Heads Towards 1M BTC Goal
Bailey said the purchase acknowledged their confidence in Bitcoin as a reserve asset.
KindlyMD’s long-term strategy is to accumulate one million Bitcoin, positioning the company as one of the largest corporate holders of the digital asset.
“This acquisition reinforces our conviction in Bitcoin as the ultimate reserve asset for corporations and institutions alike,” Bailey said in a release.
“Our long-term mission of accumulating one million Bitcoin reflects our belief that Bitcoin will anchor the next era of global finance, and we are committed to building the most trusted and transparent vehicle to achieve that future,” he added.
Corporate Bitcoin Holdings on the Rise
The deal underscores the growing momentum among mainstream corporations adopting Bitcoin as a core reserve asset.
This week, Strategy purchased a further 430 BTC for $51.4 million, bringing its total holdings to 629,376 BTC, valued at almost $74 billion.
Its aggressive purchasing spree over the last few years has cemented the company as the leading corporate Bitcoin holder.
Elsewhere, MARA, one of the leading Bitcoin miners, holds 50,639 BTC as it continues to follow Strategy’s lead by buying up the digital asset.
Other companies such as Semler Scientific and Japan’s Metaplanet have also built sizable treasuries.
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