Quarterly report [Sections 13 or 15(d)]

Digital Assets

v3.26.1
Digital Assets
6 Months Ended
Jun. 30, 2026
Intangible Asset, Goodwill and Other [Abstract]  
Digital Assets

Note 5 – Digital Assets

 

Digital assets are measured at fair value on a recurring basis using quoted prices in its principal market (Level 1 inputs). We have designated a principal market based on the market we have access to that has the greatest volume and level of orderly transactions for digital assets. We reassess the principal market when facts and circumstances change, including, but not limited to, when new markets become accessible, or the volume/activity in the current principal market declines.

 

The following table sets forth the number of tokens, cost basis and fair value of digital assets held, as shown on the condensed consolidated balance sheet as of June 30, 2026:

 

    Number of Tokens     Cost basis     Fair value  
CHZ tokens     26,517,000     $ 1,004,994     $ 472,003  

 

The following table represents a reconciliation of our assets and (liabilities) related to our digital assets during the six months ended June 30, 2026:

 

    Six months ended
June 30, 2026
 
Fair Value, January 1, 2026   $ 1,145,180  
Purchases of 10,416,000 CHZ tokens     500,000  
Cash received on sale of 11,000,000 CHZ tokens     (186,000 )
Realized loss on sale     (159,005 )
Unrealized loss     (828,172 )
Fair Value, June 30, 2026   $ 472,003