RELATED-PARTY TRANSACTIONS |
6 Months Ended |
|---|---|
Jun. 30, 2026 | |
| Related Party Transactions [Abstract] | |
| RELATED-PARTY TRANSACTIONS | RELATED-PARTY TRANSACTIONS Management Agreement — On October 6, 2014, the Company entered into a management agreement with Summit Distillery, Inc., an Oregon corporation, to open a new Heritage Distilling Company location in Eugene, Oregon. The Company engaged Summit Distillery, Inc. to manage the Eugene location for an annual management fee. The principals and sole owners of Summit Distillery, Inc., are also shareholders of the Company. For each of the three months ended June 30, 2026 and 2025, the Company expensed a management fee of $45,000, and for each of the six months ended June 30, 2026 and 2025, the Company expensed a management fee of $90,000 that was paid to Summit Distilling, Inc. The agreement is expected to terminate upon final disposition of the production lease tied to such agreement. Commissions on the Covered Call Program — Revenue from covered call contracts is recorded in crypto and related revenue without giving effect to a fee of 7.5% of premiums earned that is due to the firm that employs the Company’s contract Chief Investment Officer. The 7.5% fee is recorded in crypto and related cost of revenue.
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