Nakamoto-KindlyMD Merger Raises $740M for Bitcoin Treasury Strategy

Bitcoin holding company Nakamoto and Utah-based healthcare firm KindlyMD closed their merger on August 14, creating a combined entity that will accumulate Bitcoin through public market financing. The company continues trading on Nasdaq under ticker NAKA.

The merger brought in $540 million through a private investment in public equity (PIPE) transaction that closed alongside the deal. KindlyMD expects to finalize an additional $200 million convertible note on August 15, bringing total initial funding to $740 million.

David Bailey, co-founder of BTC Inc., now serves as CEO and board chairman of the merged company. Tim Pickett, KindlyMD’s founder, becomes the chief medical officer and will oversee the healthcare business operations. The transaction closed in Salt Lake City, with Nakamoto operating as a wholly owned subsidiary.

The combined entity plans to use proceeds to purchase Bitcoin and operate what it calls a “Bitcoin Yield” strategy. This approach aims to increase the amount of Bitcoin owned per share through equity offerings, debt financing, and other capital-raising methods.

“Our vision is for the world’s capital markets to operate on a Bitcoin standard. Today’s merger represents the beginning of that journey for our company,” Bailey said in a statement. He added that he believes Bitcoin will become “the most valuable asset in human history.”

Management outlined plans to acquire up to 1 million BTC over time. The company previously disclosed an aggregate financing target of approximately $763 million across PIPE transactions and convertible notes, including a $51.5 million PIPE announced in June.