v3.26.1
DISCONTINUED OPERATIONS
 3 Months Ended
Mar. 31, 2026
Securitize, Inc. and Subsidiaries  
Disposal Group, Including Discontinued Operations [Line Items]  
DISCONTINUED OPERATIONS DISCONTINUED OPERATIONS
On August 5, 2025, the Company entered into a letter of intent, after which management approved the sale of its Securitize for Advisors reporting unit and determined the disposal group qualified for discontinued operations presentation during the year ended December 31, 2025.
In the third quarter of 2025, prior to classification as discontinued operations, the Company evaluated the assets within the disposal group for impairment and recorded a non-cash goodwill impairment charge of $4,122,926 for the year ended December 31, 2025. The Company subsequently reduced the carrying value of the disposal group by an additional, immaterial impairment charge to align it with the expected sale consideration.
On November 26, 2025, the Company completed the sale of its Securitize for Advisors business, which is presented as discontinued operations in the unaudited condensed consolidated statements of operations and comprehensive loss for the three months ended March 31, 2025. The base sale consideration was $2,871,526, and no loss on sale was recognized as the sale price equaled the carrying value of the net assets disposed.
The following depicts the results of operations for the discontinued operations of the Company for the periods presented:
Three Months
Ended March 31,
2025
Revenue$10,637 
Operating costs and expenses:
Selling, general & administrative117,779 
Compensation and benefits464,753 
Total operating costs and expenses582,532 
Loss from operations(571,895)
Other expense:
Other expense, net(11,444)
Total other expense, net(11,444)
Net loss$(583,339)
DISCONTINUED OPERATIONS
On August 5, 2025, the Company entered into a letter of intent, after which management approved the sale of its Securitize for Advisors reporting unit and determined the disposal group qualified for discontinued operations presentation during the year ended December 31, 2025.
Prior to the net assets being classified as discontinued operations, in the third quarter of 2025 the Company evaluated the individual assets within the disposal group for impairment and recorded a non-cash goodwill impairment charge of $4,122,926. This charge is presented within ‘Net loss from discontinued operations’ in the consolidated statements of operations and comprehensive loss for the year ended December 31, 2025. After recognizing the impairment change, the carrying value of the disposal group was compared to the total expected consideration from the sale to determine the resulting loss on disposal. The carrying value of the disposal group was decreased by an impairment charge, which was not material, to reflect the expected consideration from the sale.
On November 26, 2025, the Company finalized the sale of their Securitize For Advisors business, which was presented as discontinued operations in the consolidated financial statements as of and for the years ended December 31, 2025 and 2024. The base consideration/sale price per the agreement was $2,871,526. The Company did not record a loss on sale as the sale price and the carrying value of the net assets of the Company’s Securitize For Advisors business were the same.
The following table provides a reconciliation of the carrying amounts of major classes of assets and liabilities classified as discontinued operations, respectively, to the amounts presented in the Company’s consolidated balance sheets.
December 31, 2024
Goodwill
$5,995,793 
Intangible assets, net
992,444 
Prepaid expenses and other current assets
951,922 
Cash and cash equivalents
175,233 
Accounts receivable, net
56,666 
Assets of discontinued operations
$8,172,058 
As of December 31, 2024 there were $5,314 of liabilities within the Securitize for Advisors disposal group classified as discontinued operations and included within the ‘Assets of discontinued operations’ on the consolidated balance sheets.
The following depicts the results of operations for the discontinued operations of the Company for the periods presented:
For the Year Ended
December 31,
20252024
Revenue
$100,992 $122,873 
Operating costs and expenses:
Selling, general & administrative
395,817 626,287 
Compensation and benefits
1,555,595 2,379,529 
Provision for expected credit losses
44,796 — 
Impairment of goodwill
4,122,926 3,000,000 
Total operating costs and expenses
6,119,134 6,005,816 
Loss from operations
(6,018,142)(5,882,943)
Other income (expense):
Other income (expense), net
(68,420)21,810 
Total other income (expense), net
(68,420)21,810 
Net loss
$(6,086,562)$(5,861,133)