{"id":125516,"date":"2025-03-21T03:18:04","date_gmt":"2025-03-21T03:18:04","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=125516"},"modified":"2025-03-21T03:18:04","modified_gmt":"2025-03-21T03:18:04","slug":"biopharma-exec-says-bitcoin-could-help-industry-through-biotech-winter","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=125516","title":{"rendered":"Biopharma exec says Bitcoin could help industry through \u2018biotech winter\u2019"},"content":{"rendered":"

Source: Cointelegraph.com NewsNASDAQ-listed biopharmaceutical firm Atai Life Sciences says cryptocurrencies like Bitcoin could be key to survival for biotech startups as they wade through years of regulatory approvals.\u00a0
\nAtai, which is developing mental health treatments using psychedelics like DMT and MDMA, has become the latest public company to announce plans to buy Bitcoin.
\nIt plans to buy $5 million of Bitcoin (BTC), its founder and chair Christian Angermayer wrote in a March 20 Substack post.
\n\u201cDrug development is a cash-hungry, long-term venture,\u201d he said. \u201cThe necessary steps to achieve regulatory approval can easily take more than a decade.\u201d
\nTechCrunch reported in January that, according to multiple data sets, the number of startups shutting down rose in 2024 compared to 2023 as firms failed to receive more funding to keep running.
\nAngermayer said the approval process is essential for drug development, but it exposes firms to financial risks while sticky inflation and high interest rates have caused the current \u201cbiotech winter.\u201d
\nSource: Christian AngermayerHe added that the current industry approach is to put cash reserves in near-zero-yield accounts, as \u201cpreserving capital was more important than earning a return on their cash balance.\u201d
\n\u201cThis context sets the stage for considering unconventional treasury moves \u2014 like adding Bitcoin to the treasury \u2014 to address the twin threats of inflation and low-yielding reserves, and in general to optimize and maximize shareholder value.\u201d
\nAtai will join at least five other public medical companies that have bought Bitcoin in recent months with the aim of boosting shareholder returns.
\nBiotech firm Quantum BioPharma said on March 20 that it had now spent $3.5 million in total to buy BTC and other cryptocurrencies after an initial $1 million investment in December.\u00a0
\nMedical device maker Semler Scientific said last month that since it started in May, it had spent a total of $280.4 million buying 3,192 BTC.
\nHoth Therapeutics, Acurx Pharmaceuticals and Enlivex Therapeutics said in separate statements on Nov. 20 that each of them would buy $1 million in Bitcoin.
\nRelated: Michael Saylor\u2019s Strategy plans to offer 5M shares to buy more Bitcoin
\nAtai\u2019s Angermayer said his firm\u2019s Bitcoin buy would primarily be as a long-term inflation hedge but also a short-term diversification play. He added that Bitcoin is likely to have short-term price fluctuations, so the Berlin-based firm is holding mostly US dollars, short-term securities, and stocks for its desired run rate into 2027.
\nAtai\u2019s $5 million put would mean it is able to buy just over 59 BTC at its current price of around $84,300 and make it the world\u2019s 52nd largest holder among public firms, according to Bitbo data.
\nBitcoin has struggled to keep afloat amid a wider market rout due to US President Donald Trump\u2019s tariff threats and fears of a US recession, which Trump hasn\u2019t ruled out.
\nAtai\u2019s share price rose early in March 20 trading to a peak of $1.47 but tapered off to close the day down 1.44% at $1.37, according to Google Finance. Its stock has sunk nearly 93% from its mid-2021 public debut peak but is up 3% so far this year.
\nMagazine: Crypto fans are obsessed with longevity and biohacking \u2014 Here\u2019s whyRead More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsNASDAQ-listed biopharmaceutical firm Atai Life Sciences says cryptocurrencies like Bitcoin could be key to survival for biotech startups as they wade through years of regulatory approvals.\u00a0 Atai, which… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125516"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=125516"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125516\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=125516"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=125516"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=125516"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}