XML 30 R14.htm IDEA: XBRL DOCUMENT
v3.24.3

Investments | 9 Months Ended
--- | ---
Sep. 30, 2024
Investments [Abstract] |
Investments | 7. Investments The following table sets forth the Company’s investments:
|  | September 30, 2024 |  | December 31, 2023
|  | Carrying Value |  | Cost |  | Carrying Value |  | Cost
Fnality International Limited—Series B-1 Preference Shares |  | $ | 8,764 |  |  | $ | 8,091 |  |  | $ | 9,684 |  |  | $ | 8,091 |
Total |  | $ | 8,764 |  |  | $ | 8,091 |  |  | $ | 9,684 |  |  | $ | 8,091 |
Fnality International Limited The Company owns approximately 5.4% (or 4.8% on a fully-diluted basis) of capital stock of Fnality International Limited (“Fnality”), a company incorporated in England and Wales and focused on creating a peer-to-peer digital wholesale settlement ecosystem comprised of a consortium of financial institutions, offering real time cross-border payments from a single pool of liquidity. The Company’s ownership interest is represented by 2,340,378 Series B-1 Preference Shares, resulting from the conversion of its investment of £6,000 ($8,091) in convertible notes upon Fnality’s qualified equity financing which occurred in October 2023. The Series B-1 Preference Shares carry a 1.0x liquidation preference, are convertible into ordinary shares at the option of the Company and contain various rights and protections. This investment is accounted for under the measurement alternative prescribed in ASC 321, as it does not have a readily determinable fair value and is otherwise not subject to the equity method of accounting. The investment is assessed for impairment and similar observable transactions on a quarterly basis. This investment was re-measured to fair value upon the conversion of Fnality’s Series B-2 Preference Shares held by other investors into Series B-1 Preference Shares, which occurred in June 2024. Fair value was determined using the backsolve method, a valuation approach that determines the value of shares for companies with complex capital structures based upon the price paid for shares recently issued. Fair value was allocated across the capital structure using the Black-Scholes option pricing model. The table below presents the inputs used in the backsolve valuation approach (classified as Level 3 in the fair value hierarchy):
|  | Inputs
|  | June 17, 2024 |  | December 31, 2023
Expected volatility |  |  | 60% |  |  |  | 60% |
Time to exit (in years) |  |  | 4.35 |  |  |  | 5.00 |
Probability that Series B-2 Preference Shares convert into Series B-1 Preference Shares |  |  | N/A |  |  |  | 75% |
Net unrealized gains/(losses) recognized on this investment were $476 and ($920) during the three and nine months ended September 30, 2024, respectively, inclusive of changes in the British pound to U.S. dollar exchange rate. These results are recorded in other losses, net on the Consolidated Statements of Operations. There was no impairment recognized on this investment during the three and nine months ended September 30, 2024 based upon a qualitative assessment.

X
- Definition The entire disclosure for investment. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/320/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 321 -Publisher FASB -URI https://asc.fasb.org/321/tableOfContent Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 325 -Publisher FASB -URI https://asc.fasb.org/325/tableOfContent + Details
Name: | us-gaap_InvestmentTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration