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GOODWILL, INTANGIBLE ASSETS, NET, AND DIGITAL ASSETS HELD

3 Months Ended

Mar. 31, 2024

GOODWILL, INTANGIBLE ASSETS, NET, AND DIGITAL ASSETS HELD

GOODWILL, INTANGIBLE ASSETS, NET, AND DIGITAL ASSETS HELD

8. GOODWILL, INTANGIBLE ASSETS, NET, AND DIGITAL ASSETS HELD

The following table presents the details of goodwill by segment (in millions):


			North American		Europe and
	Options		Equities		Asia Pacific		Global FX		Digital		Total
Balance as of December 31, 2023	$	305.8	$	2,004.4	$	563.2	$	267.2	$	—	$	3,140.6
Changes in foreign currency exchange rates		—		(3.6)		(3.2)		—		—		(6.8)
Balance as of March 31, 2024	$	305.8	$	2,000.8	$	560.0	$	267.2	$	—	$	3,133.8

Goodwill has been allocated to specific reporting units for purposes of impairment testing - Options, North American Equities, Europe and Asia Pacific, and Global FX. No goodwill has been allocated to the Futures and Digital segments. Goodwill impairment testing is performed annually in the fiscal fourth quarter or more frequently if conditions exist that indicate that the asset may be impaired.

The following table presents the details of the intangible assets by segment (in millions):


			North American		Europe and
	Options		Equities		Asia Pacific		Global FX		Digital		Total
Balance as of December 31, 2023	$	134.1	$	935.3	$	352.5	$	56.2	$	83.4	$	1,561.5
Amortization		(2.5)		(13.7)		(4.6)		(3.6)		(1.8)		(26.2)
Changes in foreign currency exchange rates		—		(1.7)		(6.9)		—		—		(8.6)
Balance as of March 31, 2024	$	131.6	$	919.9	$	341.0	$	52.6	$	81.6	$	1,526.7

For the three months ended March 31, 2024 and 2023, amortization expense was $26.2 million and $30.9 million, respectively. The estimated future amortization expense is $67.2 million for the remainder of 2024, $76.9 million for 2025, $69.7 million for 2026, $62.9 million for 2027, and $57.3 million for 2028.

The following tables present the categories of intangible assets by segment as of March 31, 2024 and December 31, 2023 (in millions, except as stated):



	March 31, 2024										Weighted
			North		Europe						Average
			American		and Asia						Amortization
	Options		Equities		Pacific		Global FX		Digital		Period (in years)
Trading registrations and licenses	$	95.5	$	605.4	$	206.4	$	—	$	25.0	Indefinite
Customer relationships		46.6		412.8		211.3		140.0		—	15
Market data customer relationships		53.6		322.0		60.9		64.4		—	8
Technology		28.1		56.5		33.8		22.5		70.0	7
Trademarks and tradenames		12.9		8.2		2.4		1.2		—	6
Digital assets held		—		—		—		—		0.1	Indefinite
Accumulated amortization		(105.1)		(485.0)		(173.8)		(175.5)		(13.5)
	$	131.6	$	919.9	$	341.0	$	52.6	$	81.6



	December 31, 2023										Weighted
			North		Europe						Average
			American		and Asia						Amortization
	Options		Equities		Pacific		Global FX		Digital		Period (in years)
Trading registrations and licenses	$	95.5	$	606.0	$	209.6	$	—	$	25.0	Indefinite
Customer relationships		46.6		413.9		216.1		140.0		—	15
Market data customer relationships		53.6		322.0		61.6		64.4		—	8
Technology		28.1		56.9		34.2		22.5		70.0	7
Trademarks and tradenames		12.9		8.2		2.4		1.2		—	6
Digital assets held		—		—		—		—		0.1	Indefinite
Accumulated amortization		(102.6)		(471.7)		(171.4)		(171.9)		(11.7)
	$	134.1	$	935.3	$	352.5	$	56.2	$	83.4

Cboe Digital holds customer digital assets in customer accounts, referred to as wallets, either through a licensed trust company, third-party custodian or in separate and distinct wallets managed by Cboe Digital. Cboe Digital, together with its third-party custodian, secures customers’ digital assets and protects them from loss or theft. Customer digital assets are held in omnibus wallets for the benefit of customers of Cboe Digital and Cboe Digital maintains the records of the amount and type of digital asset owned by each of its customers in omnibus wallets. The amount of customer digital assets held by Cboe Digital is reflected within digital assets – safeguarded assets and digital assets – safeguarded liabilities in the condensed consolidated balance sheets. In addition, Cboe Digital maintains an immaterial amount of its own digital assets to facilitate customer trading.