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FAIR VALUE MEASUREMENTS
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
14. FAIR VALUE MEASUREMENTS
Assets and liabilities measured and recorded at fair value on a recurring basis
The following table sets forth by level within the fair value hierarchy, the Company’s assets and liabilities measured and recorded at fair value on a recurring basis (in thousands):
June 30, 2026December 31, 2025
Level 1Level 2Level 1Level 2
Assets
Cash equivalents(1)
$3,095,370 $— $6,088,290 $— 
Restricted cash equivalents(2)
1,705 — 1,472 — 
Customer custodial funds(3)
1,864,696 — 3,438,375 — 
Crypto assets held for operations86,469 — 120,831 — 
Crypto asset loan receivables— 35,455 — 14,479 
Crypto assets held as collateral1,645,051 — 822,827 — 
Crypto assets borrowed229,076 — 318,849 — 
Marketable investments(4)
157,543 17,235 253,468 11,903 
Crypto assets held for investment1,468,395 — 1,998,871 — 
Derivative assets(5)
— 654,681 — 181,433 
Total assets$8,548,305 $707,371 $13,042,983 $207,815 
Liabilities
Derivative liabilities(5)
$— $47,444 $— $66,590 
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(1)Represents money market funds and other short-duration U.S. Treasury holdings. Excludes cash and cash equivalents of $5.5 billion and $5.2 billion as of June 30, 2026 and December 31, 2025, respectively.
(2)Represents money market funds. Excludes restricted cash and cash equivalents of $274.1 million and $332.8 million as of June 30, 2026 and December 31, 2025, respectively.
(3)Represents customer custodial cash equivalents, which comprise money market funds. Excludes customer custodial funds of $2.4 billion and $1.9 billion as of each of June 30, 2026 and December 31, 2025, respectively.
(4)Primarily represents marketable equity securities. Excludes marketable investments not measured and recorded at fair value, with none as of June 30, 2026 and $44.4 million as of December 31, 2025.
(5)See Note 12. Derivatives for additional details.
The Company has valued all Level 1 assets and liabilities using quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. The Company has valued all Level 2 assets and liabilities using quoted market prices as an observable input. This includes prices for underlying crypto assets and, for non-crypto denominated assets and liabilities, prices for similar assets and liabilities in inactive markets.
Assets and liabilities measured and recorded at fair value on a non-recurring basis
The Company’s non-financial assets, such as software and equipment, goodwill, and other intangible assets, are adjusted to fair value when an impairment charge is recognized.
The Company’s strategic investments are nearly all accounted for using the measurement alternative, whereby they are recognized at cost and adjusted to fair value for observable transactions for same or similar investments of the same issuer or for impairment, on a non-recurring basis. Fair value measurements for these strategic investments are based predominantly on Level 3 inputs to an Option-Pricing Model that uses publicly available market data of comparable companies and other unobservable inputs including expected volatility, expected time to liquidity, adjustments for other company-specific developments, and the rights and obligations of the securities the Company holds.
The impact on the Condensed Consolidated Statements of Operations from remeasurement of measurement alternative investments was immaterial for all periods presented, as were cumulative upward adjustments of measurement alternative investments outstanding at June 30, 2026 and December 31, 2025. Cumulative impairments and downward adjustments as of these dates were $134.3 million and $127.7 million, respectively.
Assets and liabilities not measured and recorded at fair value
Certain of the Company’s financial instruments are not measured and recorded at fair value but their carrying values approximate fair value due to their liquid or short-term nature. Financial instruments denominated in fiat or payment stablecoins that would be based on Level 1 valuation inputs if they were recorded at fair value include cash, restricted cash, payment stablecoins, certain customer custodial funds and related liabilities, collateral pledged, and obligations to return collateral. Financial instruments denominated in fiat or payment stablecoins that would be based on Level 2 valuation inputs if they were recorded at fair value include accounts receivable, loan receivables, and accounts payable.
The Company’s long-term debt is not measured and recorded at fair value and its carrying value generally does not approximate its fair value. See Note 11. Long-Term Debt for its estimated fair value.