v3.25.2
Fair Value Measurements
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements
3. Fair Value Measurements
We measure our financial assets at fair value each reporting period using a fair value hierarchy that prioritizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to measurements involving significant unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows:
Level 1—Inputs are observable and reflect quoted prices in active markets for identical assets or liabilities that we have the ability to access at the measurement date.
Level 2—Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly.
Level 3—Inputs that are unobservable.
Money market funds and U.S. treasury securities are classified within Level 1 because they are valued using quoted market prices or alternative pricing sources and models utilizing market observable inputs. Other debt securities and investments are classified within Level 2 if the investments are valued using model driven valuations
which use observable inputs such as quoted market prices, benchmark yields, reported trades, broker/dealer quotes or alternative pricing sources with reasonable levels of price transparency. Available-for-sale debt securities are held by custodians who obtain investment prices from a third-party pricing provider that incorporates standard inputs in various asset price models.
We did not have any assets or liabilities subject to fair value remeasurement on a nonrecurring basis as of June 30, 2025 and December 31, 2024.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table represents the fair value hierarchy for our financial assets measured at fair value on a recurring basis as of the periods presented below (in thousands):
June 30, 2025
Fair Value Measured Using
Level 1Level 2Total
Financial assets:
Cash equivalents:
Money market funds$308,108 $— $308,108 
U.S. treasury securities46,103 — 46,103 
U.S. government agency securities— 11,737 11,737 
Commercial paper
— 52,980 52,980 
Marketable securities:
U.S. treasury securities192,299 — 192,299 
U.S. government agency securities— 102,947 102,947 
Corporate debt securities— 47,261 47,261 
Commercial paper
— 8,169 8,169 
Certificates of deposit
— 89,550 89,550 
Total financial assets$546,510 $312,644 $859,154 
December 31, 2024
Fair Value Measured Using
Level 1Level 2Total
Financial assets:
Cash equivalents:
Money market funds$507,655 $— $507,655 
Marketable securities:
U.S. treasury securities216,368 — 216,368 
U.S. government agency securities— 144,783 144,783 
Corporate debt securities— 45,762 45,762 
Commercial paper
— 16,388 16,388 
Certificates of deposit
— 26,449 26,449 
Total financial assets$724,023 $233,382 $957,405 
The fair value of derivative assets and liabilities as of June 30, 2025, and all related unrealized and realized gains and losses during the three and six months ended June 30, 2025, were not material. As of June 30, 2025 and December 31, 2024, the total notional amount of outstanding designated foreign currency forward contracts was $63.6 million and $50.5 million, respectively.