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Revenue Recognition
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue Recognition
3. Revenue Recognition
Disaggregation of Revenue

The following table summarizes revenue by region in which our merchants’ headquarters are located:
Year Ended December 31,
202320222021
AmountPercentage of RevenueAmountPercentage of RevenueAmountPercentage of Revenue
(in thousands, except where indicated)
United States$182,806 61 %$163,920 63 %$163,681 71 %
Europe, the Middle East and Africa (“EMEA”)*80,547 27 71,443 27 44,850 20 
Asia-Pacific (“APAC”)16,699 6 12,005 5 7,416 3 
Americas17,558 6 13,879 5 13,194 6 
Total revenue$297,610 100 %$261,247 100 %$229,141 100 %
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*Revenue recognized from merchants whose headquarters are in Israel, which is our country of domicile, was $1.3 million, $3.3 million, and $2.4 million for the years ended December 31, 2023, 2022, and 2021, respectively.

The following table summarizes revenue based on the nature and type of service provided to our merchants:
Year Ended December 31,
202320222021
AmountPercentage of RevenueAmountPercentage of RevenueAmountPercentage of Revenue
(in thousands, except where indicated)
Fraud review service revenue (ASC 606)$167,278 56 %$156,040 60 %$132,261 58 %
Indemnification guarantee service revenue (ASC 460)130,332 44 105,207 40 96,880 42 
Total revenue$297,610 100 %$261,247 100 %$229,141 100 %
We primarily generate revenue from our Chargeback Guarantee offering. Revenue generated from other offerings are not material.
The allocation of consideration between fraud review service revenue and indemnification guarantee service revenue is a function of the fair value of our chargeback guarantee which represents what we would need to pay a third party to relieve ourselves from our obligations under issued guarantees. The fair value of the chargeback guarantee is primarily determined by utilizing the historical percentage of guarantees issued that resulted in a chargeback plus a risk premium fee that we would have incurred from a third-party in order to relieve ourselves from our legal obligation under the guarantee. Refer to Item 5. “Operating and Financial Review and Prospects — Critical Accounting Policies and Estimates.”
Changes in the percentage of revenue that are recorded as fraud review service revenue and indemnification guarantee service revenue are a function of changes in the aforementioned fair value of the chargeback guarantee and changes in the speed in which we resolve chargeback claims which impacts the systematic and rational approach that we utilize to record revenue associated with our guarantee obligation.
Cost to Obtain a Contract
The following table represents a roll-forward of deferred contract acquisition costs:
Year Ended December 31,
202320222021
(in thousands)
Beginning balance$14,383 $10,365 $6,263 
Additions to deferred contract acquisition costs8,894 9,707 7,744 
Amortization of deferred contract acquisition costs(7,715)(5,689)(3,642)
Ending balance$15,562 $14,383 $10,365 
Cost to Fulfill a Contract
The following table represents a roll-forward of deferred contract fulfillment costs that are included within in other assets, noncurrent on the consolidated balance sheets:
Year Ended December 31,
202320222021
(in thousands)
Beginning balance$3,673 $2,930 $2,166 
Additions to deferred contract fulfillment costs2,635 2,189 1,789 
Amortization of deferred contract fulfillment costs(1,852)(1,446)(1,025)
Ending balance$4,456 $3,673 $2,930