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EQUITY SECURITIES
 3 Months Ended
Mar. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
EQUITY SECURITIES
6. EQUITY SECURITIES

Equity securities consist of the following (in thousands):
March 31,
2025		December 31,
2024
Equity securities accounted for under the equity method under ASC 323$52,341 $56,546 
Equity securities accounted for under the equity method under the fair value option25,400 21,640 
Total equity securities$77,741 $78,186 

Our equity securities accounted for under the equity method under ASC 323 include equity securities in which we can exercise significant influence, but not control, over these entities through holding more than a 20% voting interest in the entity. During the period ended March 31, 2025, after stockholder approval was obtained from Kirkland's, Inc. ("Kirkland's") stockholders, we funded our additional $8.0 million investment in Kirkland's in exchange for Kirkland's common stock and converted our $8.5 million convertible promissory note (plus accrued interest) into shares of Kirkland's common stock. After all transactions, we own approximately 40% of Kirkland's outstanding shares of common stock. In addition, as part of the sale of our rights in the Zulily brand, we retained a 25% ownership stake in the brand in the form of a newly created entity, Zulily Newco. See Note 5—Intangible Assets, net, for further information.
The following table includes our equity securities accounted for under the equity method and related ownership interest as of March 31, 2025:
Ownership
interest
Medici Ventures, L.P.99%
tZERO Group, Inc.28%
SpeedRoute, LLC49%
Kirkland's, Inc.
40%
Zulily Newco25%

The carrying amount of our equity method securities was $77.7 million at March 31, 2025, which is included in Equity securities on our consolidated balance sheets, of which $25.4 million was valued under the fair value option (tZERO, SpeedRoute, Kirkland's, and Zulily Newco). Our equity securities in Kirkland's are carried at fair value based on Level 1 inputs. The aggregate fair value of our equity securities in Kirkland's at March 31, 2025 was $11.4 million. For our equity method investments, there was no difference in the carrying amount of the assets and liabilities and our maximum exposure to loss, and there was no difference between the carrying amount of our investment in Medici Ventures, L.P., and the amount of underlying equity we have in the entity's net assets.

The following table summarizes the net loss recognized on equity method securities recorded in Other expense, net in our consolidated statements of operations (in thousands):
Three months ended
March 31,
20252024
Net loss recognized on our proportionate share of the net assets of our equity method securities$(4,205)$(9,734)
Decrease in fair value of equity method securities held under fair value option
(12,868)(8,718)

Regulation S-X Rule 10-01(b)(1)
In accordance with Rule 10-01(b)(1) of Regulation S-X, which applies to interim reports on Form 10-Q, the Company must determine if its equity method investees are considered "significant subsidiaries". Summarized income statement information of an equity method investee is required in an interim report if the significance criteria are met as defined under SEC guidance. For the periods ended March 31, 2025 and 2024, none of our equity method investees met the significance criteria.