| Fair Value of Financial Assets and Liabilities |
2. Fair Value of Financial Assets and Liabilities Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable: | ● | Level 1—Quoted prices in active markets for identical assets or liabilities. |
| ● | Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data. |
| ● | Level 3—Unobservable inputs that are supported by little or no market activity that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques. |
The following tables present information about the Company’s financial instruments measured at fair value on a recurring basis and indicate the level of the fair value hierarchy used to determine such fair values: | | | | | | | | | | | | | | | Fair Value Measurements | | | as of June 30, 2026 Using: | | | Level 1 | | Level 2 | | Level 3 | | Total | Assets: | | | | | | | | | | | | | Cash equivalents — money market funds | | $ | 71,484 | | $ | — | | $ | — | | $ | 71,484 | Cash equivalents — U.S. Treasury Securities | | | — | | | 1,688 | | | — | | | 1,688 | Short-term investments — U.S. Treasury Securities | | | — | | | 350,251 | | | — | | | 350,251 | | | $ | 71,484 | | $ | 351,939 | | $ | — | | $ | 423,423 |
| | | | | | | | | | | | | | | Fair Value Measurements | | | as of December 31, 2025 Using: | | | Level 1 | | Level 2 | | Level 3 | | Total | Assets: | | | | | | | | | | | | | Cash equivalents — money market funds | | $ | 77,291 | | $ | — | | $ | — | | $ | 77,291 | Short-term investments — U.S. Treasury Securities | | | — | | | 248,478 | | | — | | | 248,478 | | | $ | 77,291 | | $ | 248,478 | | $ | — | | $ | 325,769 |
During the six months ended June 30, 2026 and the year ended December 31, 2025, there were no transfers between Level 1, Level 2 and Level 3. The money market funds were valued using quoted prices in active markets, which represent a Level 1 measurement in the fair value hierarchy. The Company’s cash equivalents and short-term investments as of June 30, 2026 and December 31, 2025 included U.S. Treasury Securities, which are not traded on a daily basis and, therefore, represent a Level 2 measurement in the fair value hierarchy at each period end. The contractual maturities of short-term investments were as follows: | | | | | | | | | | | | | | | | | | | | | June 30, | | December 31, | | | | | | | | | 2026 | | 2025 | Maturities within one year | | | | | | | | $ | 184,351 | | $ | 179,577 | Maturities after one year through five years | | | | | | | | | 165,900 | | | 68,901 | Total | | | | | | | | $ | 350,251 | | $ | 248,478 |
The following tables summarize short-term investments: | | | | | | | | | | | | | | | | | | | | | Gross | | Gross | | | | | | | Amortized | | Unrealized | | Unrealized | | Credit | | Fair | | | Cost | | Gains | | Losses | | Losses | | Value | June 30, 2026 | | | | | | | | | | | | | | | | Cash Equivalents - U.S. Treasury Securities | | $ | 1,688 | | $ | — | | $ | — | | $ | — | | $ | 1,688 | Short-term investments — U.S. Treasury Securities | | | 351,631 | | | — | | | (1,380) | | | — | | | 350,251 | | | $ | 353,319 | | $ | — | | $ | (1,380) | | $ | — | | $ | 351,939 |
| | | | | | | | | | | | | | | | | | | | | Gross | | Gross | | | | | | | Amortized | | Unrealized | | Unrealized | | Credit | | Fair | | | Cost | | Gains | | Losses | | Losses | | Value | December 31, 2025 | | | | | | | | | | | | | | | | Short-term investments — U.S. Treasury Securities | | $ | 248,354 | | $ | 125 | | $ | (1) | | $ | — | | $ | 248,478 | | | $ | 248,354 | | $ | 125 | | $ | (1) | | $ | — | | $ | 248,478 |
As of June 30, 2026, the Company considers the unrealized losses in its investment portfolio to be temporary in nature and not due to credit losses. The Company has the ability to hold such investments until recovery of the fair value. The Company utilizes the specific identification method in computing realized gains and losses. The Company had no realized gains and losses on its available-for-sale securities for the six months ended June 30, 2026 or 2025.
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