The following table presents the Company’s significant digital asset holdings as of March 31, 2026 and December 31, 2025, respectively:


	As of March 31, 2026
(in thousands, except for quantity)	Quantity	Cost Basis		Fair Value
Bitcoin	25,308	$	1,859,170	$	1,726,995
Bitcoin - receivable (1)	9,995	210,834		681,946

Total bitcoin holdings	35,303	2,070,004		2,408,941

Other digital assets		8,678		1,903
Total digital assets held as of March 31, 2026		$	2,078,682	$	2,410,844


	As of December 31, 2025
(in thousands, except for quantity)	Quantity	Cost Basis		Fair Value
Bitcoin	38,507	$	3,277,867	$	3,369,245
Bitcoin - receivable (1)	15,315	1,075,665		1,340,055
Total bitcoin holdings	53,822	4,353,532		4,709,300

Other digital assets		8,585		2,391
Total digital assets held as of December 31, 2025		$	4,362,117	$	4,711,691

(1) The Company’s bitcoin - receivable holdings include bitcoin loaned or pledged as collateral, excluding the allowance for credit loss. Refer to Note 5 – Digital Assets, “Digital assets - receivable, net,” and Note 13 – Debt, for further information.

The Company earned 37 and 33 bitcoin that were pending distribution from the Company’s equity method investee, the ADGM Entity (as defined below), which are excluded from the Company’s holdings as of March 31, 2026 and December 31, 2025, respectively.

The Company enters into master securities loan agreements with various counterparties to generate returns from a portion of our bitcoin holdings. Amounts loaned under these arrangements are recognized as digital asset loan receivables. As of December 31, 2025, the Company had loaned a total of 9,377 bitcoin to counterparties under these agreements. During the three months ended March 31, 2026, the Company recalled 3,635 bitcoin, reducing the total bitcoin loaned under these agreements to 5,742 bitcoin.

The Company may, from time to time, enter into structured arrangements to actively manage a portion of the Company’s bitcoin holdings with the intent of generating returns while limiting downside risk. As of March 31, 2026 and December 31, 2025, an immaterial portion of the Company’s bitcoin holdings were held in such accounts.

As of March 31, 2026 and December 31, 2025, the Company had a total of 4,253 and 5,938 bitcoin pledged as collateral, respectively, in connection with outstanding borrowings under the Line of Credit. Refer to Note 13 – Debt, for further information.


(in thousands)	March 31, 2026		December 31, 2025
Digital asset receivable - lending	$	391,730	$	820,468
Digital asset receivable - trading	1		1
Digital asset receivable - borrowing	290,215		519,586
Total digital asset receivable	681,946		1,340,055
Less: Allowance for credit loss	(1,425)		(3,187)
Digital assets - receivable, net	$	680,521	$	1,336,868

The aforementioned digital asset receivables are initially recognized at fair value upon transfer and subsequently remeasured at fair value each reporting period. The changes in fair value are recognized as “Change in fair value of digital assets - receivable, net” on the Condensed Consolidated Statements of Operations.

The allowance for credit losses reflects the Company’s current estimate of the potential credit losses associated with bitcoin used in lending and structured trading arrangements, and bitcoin pledged as collateral in connection with outstanding borrowings. The credit loss is recorded as a valuation account, directly offsetting the digital asset receivables on the Condensed Consolidated Balance Sheets. Changes in the allowance for credit losses on loans, based on quarterly analyses, are recorded as provision for credit losses within “Other” on the Condensed Consolidated Statements of Operations.

The Company assesses the creditworthiness of its borrowers on a quarterly basis. For the purpose of determining the allowance for credit loss, financial assets with similar risk characteristics are pooled together. Our financial assets are aggregated by exposure term and assigned risk ratings. The Company considers credit ratings and various other factors, including the collateral and/or security of the digital asset receivable. The Company’s considerations are aligned with current ratings used by major credit ratings agencies.

Given the limited historical data related to digital asset receivables and losses incurred related to digital asset receivables, the Company chose to rely on external data to perform the calculation of expected credit losses. The Company utilized the profitability of default (“PD”) loss given default (“LGD”) approach to estimate the allowance for credit loss. In order to apply the PD LGD approach, management considered the lifetime of the digital asset receivables, the reasonable and supportable forecast, and the PD LGD.

As of March 31, 2026, the Company recorded a corresponding allowance for credit loss of $1.4 million, based on the PD LGD approach. As of December 31, 2025, the Company had digital asset receivables outstanding and recorded an allowance for credit loss of $3.2 million.