XML 24 R12.htm IDEA: XBRL DOCUMENT
v3.26.1

Loans Receivable | 3 Months Ended
--- | ---
Mar. 31, 2026
Loans Receivable [Abstract] |
LOANS RECEIVABLE | NOTE 6 – LOANS RECEIVABLE The Company’s loans receivable consist primarily of loans acquired and financed in connection with its RWA platform activities. Loans receivable are carried at amortized cost, net of any allowance for expected credit losses, and are included in “Loans Receivable” on the Company’s Condensed Consolidated Balance Sheets. The Company evaluates expected credit losses on loans receivable in accordance with ASC 326, considering the underlying collateral, contractual recourse provisions, and the creditworthiness of counterparties. Based on this evaluation, management concluded no allowance was recorded as of the reporting date. Warehouse Facility Loan Receivables On March 5, 2026, ETHZilla Auto Loans, a wholly owned subsidiary of the Company, entered into a warehouse facility agreement, dated as of March 3, 2026, with Anchored Finance pursuant to which ETHZilla Auto Loans, as lender, agreed to provide Anchored Finance, as borrower, with the Warehouse Facility in an initial commitment amount of up to $10.0 million. The Warehouse Facility is intended to provide interim financing for eligible auto loan receivables originated through Automatic USA, an automated auto finance platform partnered with Karus, an artificial intelligence-driven credit analytics platform in which the Company holds approximately a 20% equity interest. The auto loan receivables financed under the Warehouse Facility may be originated through the Automatic USA platform pending such receivables’ sale or other disposition. The Warehouse Facility has an initial term of 12 months from the closing date and automatically renews for successive six-month periods unless either party provides at least 60 days’ prior written notice of non-renewal. Advances under the Warehouse Facility are subject to a borrowing base determined by the eligibility and advance rates applicable to the underlying auto loan receivables pledged as collateral. As of March 31, 2026, advances had been made under the Warehouse Facility, and the outstanding principal balance of warehouse facility loan receivables supported by the borrowing base was $1.7 million. Such amount is included in “Loans Receivable” on the Company’s Condensed Consolidated Balance Sheets. As of March 31, 2026, the Company evaluated these warehouse facility loan receivables for expected credit losses in accordance with ASC 326, and the related allowance was immaterial. Zippy Manufactured Home Loan Receivables On January 30, 2026, the Company, through its wholly owned subsidiary ETHZilla Modular Mortgage, acquired 95 manufactured and modular home loans (together with the related first-lien mortgages) from Zippy Manufactured Home Credit Fund I L.P. (the “Seller”) pursuant to a loan purchase agreement for an aggregate purchase price of $4.7 million in cash (equal to 104% of the outstanding principal balance as of January 29, 2026). The Company acquired an additional 94 loans in March for a total purchase price of $5.1 million (equal to 104% of the outstanding principal balance as of the purchase date). The Company recognized an aggregate loan premium of $0.4 million on these purchases which will be amortized over the life of the loans to interest expense. The Company recognized interest income of $0.1 million during the three months ended March 31, 2026, included in Revenue on the Company’s consolidated statements of operations. The acquired loan receivables are secured by first-lien manufactured home collateral and are evidenced by promissory notes and related security agreements. The loan portfolio currently only includes Community Recourse Loans with Non-Recourse Loans to be added in later quarters as origination begins, as defined in the governing purchase agreements. Community Recourse Loans relate to manufactured homes located in designated manufactured housing communities and benefit from community recourse or repurchase arrangements under defined conditions for a limited period of time, while Non-Recourse Loans do not include such provisions and rely solely on recovery from the underlying collateral. The loans were purchased at prices reflecting a premium to the outstanding principal balance and are serviced by Zippy Loans, LLC, an affiliate of the Seller, in accordance with the applicable servicing arrangements. The loan receivables are accounted for as loans held for investment and are measured at amortized cost, net of any allowance for expected credit losses. As of March 31, 2026, management concluded that an allowance for expected credit losses was not required, as the Company’s exposure to credit losses is mitigated by full collateralization and contractual community recourse provisions. In addition to the executed loan purchase, the Company has entered into forward-flow arrangements under which it may acquire additional manufactured home loan receivables in future periods. Each such purchase will be evaluated and accounted for as a separate transaction at the time of acquisition, and no loan receivables or related liabilities are recognized prior to settlement. As of March 31, 2026, the outstanding principal balance of Zippy-related manufactured home loan receivables was $9.8 million, which is included in “Loans Receivable” on the Company’s Condensed Consolidated Balance Sheets.

X
- Definition The entire disclosure for claims held for amounts due to entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/310-10/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 835 -SubTopic 30 -Name Accounting Standards Codification -Section 45 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482925/835-30-45-2 + Details
Name: | us-gaap_LoansNotesTradeAndOtherReceivablesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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