Debt |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Debt | |
| Debt | Note 7. Debt FalconX Credit Facility On March 20, 2026 the Company entered into a master lender agreement with FalconX Charlie, Inc. (the “Master Lender Agreement”) and on May 29, 2026, the Company entered into a loan term sheet with FalconX Charlie, Inc. (the “Loan Term Sheet”) pursuant to which it may borrow up to $25.0 million, collateralized by certain of the Company’s AVAX holdings. As of June 11, 2026 the Company borrowed $23.0 million under the facility, all of which remained outstanding as of June 30, 2026. The loan is open-term with no stated maturity date and bears interest at 7.0% per annum on any outstanding borrowings. The Company recognized interest expense of $83,808 and $83,808 related to the loan during the three and six months ended June 30, 2026, respectively. Under the terms of the Master Lender Agreement, upon any draw on the facility, the Company would be required to pledge AVAX tokens as collateral, the fair value of which must meet or exceed specified collateral coverage ratios at the time of borrowing and on an ongoing basis. In the event that the fair value of the pledged AVAX declines below certain maintenance thresholds, the Company may be required to post additional collateral or repay a portion of the outstanding balance to restore the required coverage ratio. A further decline below a liquidation threshold could result in the lender liquidating a portion or all of the pledged collateral to satisfy the outstanding obligation. Either party may terminate the agreement in accordance with its terms, and any outstanding principal and accrued interest would become due upon termination. As of June 30, 2026, the Company had pledged 7.8 million AVAX tokens as collateral under the Master Lender Agreement, with an aggregate fair value of approximately $51 million (see Note 4). |