Concentration of risks |
12 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Concentration of risks | |
| Concentration of risks | Note 8 – Concentration of risks Credit risk Financial instruments that potentially subject the Group to significant concentrations of credit risk consist primarily of cash. The Group maintains its cash balances in various financial institutions located in different jurisdictions, including the United States and Singapore. In the U.S., the insurance coverage of each bank is $250,000. As of June 30, 2026, cash balance of $363,222 was deposited with a nonfinancial institution located in the U.S. and was subject to credit risk. In Singapore, the insurance coverage of each bank is SGD$100,000 (approximately $78,600). As of June 30, 2026, cash balance of $106,231 was deposited with a nonfinancial institution located in the Singapore and was subject to credit risk. While management believes that these third-party fund holders are of high credit quality, it also continually monitors their creditworthiness. There is a risk that some or all of the Group’s Dogecoin could be lost, stolen, or otherwise become inaccessible. The Group stores its Dogecoins in both hot and cold wallets with BitGo. Hot wallets, which are connected to the Internet, facilitate transactions but are more vulnerable to hacking and other cyber incidents. Cold wallets, which are kept offline, provide greater protection from external attacks but may result in delayed access to assets during market volatility and carry risks of internal error or misappropriation. The Group may maintain limited amounts of Dogecoin in internal operational wallets for transaction-processing purposes; however, the substantial majority of our digital-asset holdings are maintained in BitGo cold storage. BitGo also maintains commercial crime insurance covering certain losses relating to digital assets custodied with BitGo, subject to policy limits, conditions, and exclusions, which may not cover all potential losses. The Group is also exposed to credit risk from its other receivables and loans receivable. These assets are subjected to credit evaluations. An allowance has been made for expected credit losses based on the historical experience, current conditions, and reasonable and supportable forecast. |