| INVESTMENTS IN DEBT SECURITIES |
INVESTMENTS IN DEBT SECURITIES The Company's short-term and long-term investments in debt securities as of June 30, 2026 and December 31, 2025 were as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2026 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | | Short-term debt securities: | | | | | | | | | U.S. agency securities | $ | 14,000 | | | $ | 4 | | | $ | — | | | $ | 14,004 | | | Corporate bonds | 93,110 | | | 16 | | | (110) | | | 93,016 | | | Commercial paper | 17,509 | | | — | | | — | | | 17,509 | | | | | | | | | | | Certificates of deposit | 2,072 | | | — | | | — | | | 2,072 | | | U.S. government securities | 184,282 | | | 133 | | | (171) | | | 184,244 | | | | | | | | | | | Total | $ | 310,973 | | | $ | 153 | | | $ | (281) | | | $ | 310,845 | | | | | | | | | | | Long-term debt securities: | | | | | | | | | U.S. agency securities | $ | 999 | | | $ | — | | | $ | (5) | | | $ | 994 | | | Corporate bonds | 71,793 | | | 8 | | | (244) | | | 71,557 | | | Municipal securities | 9,904 | | | — | | | (401) | | | 9,503 | | | | | | | | | | | U.S. government securities | 144,219 | | | — | | | (832) | | | 143,387 | | | | | | | | | | | Total | $ | 226,915 | | | $ | 8 | | | $ | (1,482) | | | $ | 225,441 | |
| | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | Amortized Cost | | Gross Unrealized Gains | | Gross Unrealized Losses | | Fair Value | | Short-term debt securities: | | | | | | | | | U.S. agency securities | $ | 19,017 | | | $ | 18 | | | $ | — | | | $ | 19,035 | | | Corporate bonds | 58,954 | | | 165 | | | — | | | 59,119 | | | Commercial paper | 92,655 | | | — | | | — | | | 92,655 | | | Municipal securities | 130 | | | — | | | — | | | 130 | | | Certificates of deposit | 2,211 | | | — | | | — | | | 2,211 | | | U.S. government securities | 343,923 | | | 707 | | | (3) | | | 344,627 | | | | | | | | | | | Total | $ | 516,890 | | | $ | 890 | | | $ | (3) | | | $ | 517,777 | | | | | | | | | | | Long-term debt securities: | | | | | | | | | | | | | | | | | Corporate bonds | $ | 81,332 | | | $ | 139 | | | $ | (2) | | | $ | 81,469 | | | Municipal securities | 7,167 | | | 28 | | | (244) | | | 6,951 | | | U.S. government securities | 99,981 | | | 486 | | | — | | | 100,467 | | | | | | | | | | | Total | $ | 188,480 | | | $ | 653 | | | $ | (246) | | | $ | 188,887 | |
The amortized cost of investments classified as cash equivalents approximated the fair value due to the short-term nature of the investments. The Company's gross unrealized losses and fair values for those investments that were in an unrealized loss position as of June 30, 2026 and December 31, 2025, aggregated by investment category and the length of time that individual securities have been in a continuous loss position were as follows (in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2026 | | Less than 12 Months | | Greater than 12 Months | | Total | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Short-term debt securities: | | | | | | | | | | | | | | | | | | | | | | | | | Corporate bonds | $ | 75,263 | | | $ | (110) | | | $ | — | | | $ | — | | | $ | 75,263 | | | $ | (110) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | U.S. government securities | 111,168 | | | (171) | | | — | | | — | | | 111,168 | | | (171) | | | | | | | | | | | | | | | Total | $ | 186,431 | | | $ | (281) | | | $ | — | | | $ | — | | | $ | 186,431 | | | $ | (281) | | | | | | | | | | | | | | | Long-term debt securities: | | | | | | | | | | | | | U.S. agency securities | $ | 994 | | | $ | (5) | | | $ | — | | | $ | — | | | $ | 994 | | | $ | (5) | | | Corporate bonds | 64,409 | | | (244) | | | — | | | — | | | 64,409 | | | (244) | | | Municipal securities | 8,773 | | | (268) | | | 730 | | | (133) | | | 9,503 | | | (401) | | | U.S. government securities | 143,387 | | | (832) | | | — | | | — | | | 143,387 | | | (832) | | | | | | | | | | | | | | | Total | $ | 217,563 | | | $ | (1,349) | | | $ | 730 | | | $ | (133) | | | $ | 218,293 | | | $ | (1,482) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | Less than 12 Months | | Greater than 12 Months | | Total | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Fair Value | | Gross Unrealized Losses | | Short-term debt securities: | | | | | | | | | | | | | U.S. agency securities | $ | 17 | | | $ | — | | | $ | — | | | $ | — | | | $ | 17 | | | $ | — | | | Corporate bonds | 3,508 | | | — | | | — | | | — | | | 3,508 | | | — | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | U.S. government securities | 11,998 | | | (3) | | | — | | | — | | | 11,998 | | | (3) | | | | | | | | | | | | | | | Total | $ | 15,523 | | | $ | (3) | | | $ | — | | | $ | — | | | $ | 15,523 | | | $ | (3) | | | | | | | | | | | | | | | Long-term debt securities: | | | | | | | | | | | | | | | | | | | | | | | | | Corporate bonds | $ | 4,539 | | | $ | (2) | | | $ | — | | | $ | — | | | $ | 4,539 | | | $ | (2) | | | Municipal securities | 3,274 | | | (98) | | | 1,235 | | | (146) | | | 4,509 | | | (244) | | | | | | | | | | | | | | | | | | | | | | | | | | | Total | $ | 7,813 | | | $ | (100) | | | $ | 1,235 | | | $ | (146) | | | $ | 9,048 | | | $ | (246) | |
The Company does not intend to sell nor anticipate that it will be required to sell these securities before recovery of the amortized cost basis. Unrealized losses on available-for-sale debt securities were determined not to be related to credit related losses, therefore, an allowance for credit losses was not required.
The contractual maturities of the Company's short-term and long-term investments as of June 30, 2026 were as follows (in thousands): | | | | | | | | | | | | | Amortized Cost | | Fair Value | | Due in one year or less | $ | 310,973 | | | $ | 310,845 | | | Due after one year to five years | 217,011 | | | 215,938 | | | Due after five years | 9,904 | | | 9,503 | | | Total | $ | 537,888 | | | $ | 536,286 | |
The following table presents the assets underlying customer funds (in thousands): | | | | | | | | | | | | | June 30, 2026 | | December 31, 2025 | | Cash | $ | 4,343,210 | | | $ | 3,663,727 | | | | | | | Cash equivalents: | | | | | | | | Reverse repurchase agreement (i) | 1,187,068 | | | 1,108,097 | | | | | | | | | | | | | | | | | | | | | | | Total customer funds | $ | 5,530,278 | | | $ | 4,771,824 | |
(i) The Company has accounted for the reverse repurchase agreement with a third party as an overnight lending arrangement, collateralized by the securities subject to the repurchase agreement. The Company classifies the amounts due from the counterparty as cash equivalents due to their short term nature.
The amortized cost of investments classified as cash equivalents approximated the fair value due to the short-term nature of the investments.
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