Under our Amended and Restated 2012 Stock Plan (the “Plan”), we may grant incentive and nonqualified stock options, restricted stock, restricted stock units (“RSUs”), and performance stock units (“PSUs”) to employees, officers, directors, and consultants. As of June 30, 2026, the maximum number of shares of common stock which may be issued under the Plan is 192,859,800 Class A shares and there were 69,408,730 shares of Class A common stock available for future grants under the Plan.

For stock options granted before our IPO in January 2021, the minimum expiration period is seven years after termination of employment or ten years from the date of grant. For stock options granted after our IPO, the minimum expiration period is three months after termination of employment or ten years from the date of grant. Stock option awards generally vest over a period of four years, with some awards vesting 25% on the twelve month anniversary of the vesting commencement date and the remaining 75% vesting ratably over the next three years.


	Number of Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in thousands)
Balance as of June 30, 2025	12,955,978	$	19.12	5.18

Exercised	(3,048,939)	14.26
Forfeited, expired or canceled	(168,023)	40.69
Balance as of June 30, 2026	9,739,016	20.27		4.44
Vested and exercisable, June 30, 2026	8,730,375	$	19.15	4.09	$	544,997
Vested and exercisable, and expected to vest thereafter (1) June 30, 2026	9,738,281	$	20.29	4.44	$	596,787

There were no options granted for the year ended June 30, 2026 and the weighted-average grant date fair value of options granted for the years ended June 30, 2025 and 2024 was $31.74 and $16.37, respectively. The aggregate intrinsic value of options exercised was approximately $193.7 million, $234.5 million, and $79.0 million for the years ended June 30, 2026, 2025, and 2024, respectively. The total fair value of stock options vested during the years ended June 30, 2026, 2025, and 2024 was $22.1 million, $26.8 million, and $24.3 million, respectively.

The fair value of each option on the date of grant is determined using the Black Scholes-Merton option pricing model using the single-option award approach with the weighted-average assumptions set forth in the table below. Volatility is based on historical volatility rates obtained from certain public companies that operate in the same or related business as us since there is a limited period of historical market data for our common stock. The risk-free interest rate is determined using a U.S. Treasury rate for the period that coincides with the expected term set forth. We used the simplified method to determine an estimate of the expected term of an employee share option.

In November 2020, the Company’s Board of Directors approved a long-term, multi-year performance-based stock option grant providing Mr. Levchin with the opportunity to earn the right to purchase up to 12,500,000 shares of the Company’s Class A common stock (the “Value Creation Award”).The Value Creation Award could only be earned upon achievement of specified stock price hurdles above the Company’s IPO price during a five-year performance period, subject to Mr. Levchin’s continued service. During the year ended June 30, 2026, the performance period ended and 8,500,000 unvested shares expired. We recognized stock-based compensation on these awards based on the grant date fair value using an accelerated attribution method over the requisite service

period, and only if performance-based conditions were considered probable of being satisfied. We incurred stock-based compensation expense of $11.8 million, $36.5 million, and $64.6 million during the years ended June 30, 2026, 2025, and 2024, respectively, associated with the Value Creation Award as a component of general and administrative expense within the consolidated statements of operations and comprehensive income (loss).


	Number of Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in thousands)
Balance as of June 30, 2025	12,500,000	$	49.00	5.29
Exercised	(1,999,998)	49.00
Expired	(8,500,000)	49.00
Balance as of June 30, 2026	2,000,002	49.00		4.54
Vested and exercisable, June 30, 2026	2,000,002	$	49.00	4.54	$	65,100

As of June 30, 2026, there is no remaining unrecognized compensation expense related to the Value Creation Award. The aggregate intrinsic value of Value Creation Award shares exercised was approximately $68.6 million for the year ended June 30, 2026. No Value Creation Award shares were exercised for the years ended June 30, 2025 and 2024.

RSUs are subject to a service-based vesting condition. We record stock-based compensation expense for service-based RSUs on a straight-line basis over the requisite service period, which is generally one to four years.


	Number of Shares	Weighted Average Grant Date Fair Value
Non-vested at June 30, 2025	13,666,035	$	30.98
Granted	6,479,309	67.58
Vested	(11,390,839)	38.44
Forfeited, expired or canceled	(1,494,866)	41.09
Non-vested at June 30, 2026	7,259,639	$	49.87

From time to time we grant PSUs to select executives and employees. Vesting is contingent upon completion of a continuous three-year service period and the achievement of company financial performance goals, including target growth rates for revenue less transaction costs and adjusted operating income. The number of shares that vest at the end of the performance period will range between 0% and 200% of the target shares based on actual performance against the applicable targets, which will be measured at the end of each fiscal year and averaged at the end of the three-year period. We record stock-based compensation expense for the number of PSUs that are probable of vesting based on the estimated achievement of the performance conditions. If the minimum conditions are not met, any recognized compensation cost will be reversed. The expense is recognized on a straight-line basis over the three-year period.

We offer an Employee Stock Purchase Plan (“ESPP”) to our employees. A total of 18.9 million shares of Class A common stock are reserved and available for issuance under the ESPP and 2.4 million shares have been issued as of June 30, 2026. The ESPP provides for six-month offering periods beginning December 1 and June 1 of each year. At the end of each offering period, shares of our Class A common stock are purchased on behalf of each ESPP participant at a price per share equal to 85% of the lesser of (1) the fair market value of the Class A common stock on the first day of the offering period (the grant date) or (2) the fair market value of the Class A common stock on the last day of the offering period (the purchase date). We use the Black-Scholes-Merton option pricing model to measure the fair value of the purchase rights issued under the ESPP at the first day of the offering period, which represents the grant date. We record stock-based compensation expense on a straight-line basis over each six-month offering period, the requisite service period of the award.


	June 30, 2026		June 30, 2025		June 30, 2024
General and administrative	$	195,746	$	216,323	$	228,334
Technology and data analytics	92,017		87,707		96,596
Sales and marketing	16,026		16,535		16,374
Processing and servicing	882		868		3,207
Total stock-based compensation in operating expenses	304,671		321,433		344,511
Capitalized into property, equipment and software, net	179,842		178,461		126,510
Total stock-based compensation	$	484,513	$	499,894	$	471,021