Trump Media and Semler’s science could become the cheapest bitcoin finance company with this metric

The new Bitcoin Tsunami

Finance Companies – Companies that are almost exclusively dedicated to Bitcoin accumulation are flooded with markets.

They are all more or less Strategic (MSTR) playbooks, so there is growing doubt about the best way to cherish them and compare them to each other.

“The most important indicator of the Bitcoin Treasury is the premium that trades compared to the underlying net assets, including any operating company,” wrote Greg Chipolalo, global research director at Bitcoin finance company NYDIG in a June 6 report.

On the surface, it means summing the company’s Bitcoin, cash and company’s value except for those of Bitcoin, and deducting obligations such as debt and preferred stocks. “It is this premium that allows these companies to convert Bitcoin stocks, and it works effectively as a money changer converting Bitcoin stocks,” says Cipolaro.

One of the most popular metrics, MNAV measures a company’s valuation of net asset value. In these cases, it is Bitcoin’s Ministry of Finance. MNAVs above 1.0 indicate that investors are interested in paying premiums in stock exposures compared to Bitcoin Stash. However, an MNAV below 1.0 means that fairness is less valuable than the company’s holdings.

But Mnav alone is “a terrible shortage” to analyze the pros and cons of these companies, Cipolaro said. The research report used other metrics such as NAV, MNAV measured by market capitalization, MNAV, MNAV in enterprise value, and NAV equity premium to provide more complex images.

The table shows, for example, that the premium to NAVs of Semler Scientific (SMLR) and Trump Media (DJT) (measuring the percentage of the fund’s market price and the percentage of net asset value) is the lowest of eight measured companies, which are -10% and -16%, respectively, despite the fact that they have an MNAV greater than 1.1, respectively.

Unfortunately, both SMLR and DJT will hardly change on Monday, even if Bitcoin rises to $108,500 against the $105,000 level on Friday evening. MSTR is 5% shy.