Biotech Company Creates $5 Million Bitcoin Treasury to Offset Long R&D Times for Clinical Drug Tests ⋆ ZyCrypto
The post Biotech Company Creates $5 Million Bitcoin Treasury to Offset Long R&D Times for Clinical Drug Tests ⋆ ZyCrypto appeared on BitcoinEthereumNews.com.
Advertisement     Atai Life Sciences, a Nasdaq-issued biopharmaceutical company, invested $5 million in Bitcoin, creating a treasury plan to hedge against inflation and have reliable reserve wealth in an economic crisis. Christian Angermayer, chairman of Atai Life Sciences, said that the Bitcoin reserve gives Atai a financial runway. Atai joins a list of companies creating a Bitcoin treasury, changing the nature of biotech firms and providing more economic stability so that their business can focus more on innovation. Although listed on the Nasdaq stock exchange, Atai is headquartered in Berlin, Germany. The company aims to address pharmaceutical gaps, particularly in mental health. The company will initially invest $5 million in Bitcoin, diversifying its portfolio with other assets, cash, and short-term securities. The portfolio will be used to fund its operations through 2027. The Bitcoin treasury will hold around 60 BTC, placing the company among the top 60 companies investing in Bitcoin. The Nasdaq-listed company, under the ticker symbol ATAI, had a market cap of around $275 million, providing enough cash to fund biotech operations. Yet the cash, despite being larger than the company’s debt, is being consumed fast, possibly promoting the need for better money management. Many companies are using a Bitcoin treasury strategy to mitigate the risks associated with inflation. Atai maintains a traditional portfolio, using these assets to fund operations and not relying on Bitcoin reserves for core business expenses. The stock price has fallen 93% since its 2021 debut but has risen 3% this year. Advertisement   Christian Angermayer, Atai chairman, explains that biotech companies use a lot of cash to fund operations, often rallying massive amounts of funds at the start of a project, only to use the money for an extended period. A large amount of cash is needed to navigate health and regulatory…
Filed under: News - @ March 22, 2025 7:18 pm