v3.26.3
Related Party Transactions
 3 Months Ended
Sep. 30, 2026
Related Party Transactions [Abstract]  
Related Party Transactions

Related parties include entities which the Company controls or has the ability to significantly influence, and entities which are under common control with the Company. Related parties also include persons who are affiliated with related entities or the Company who are in a position to influence corporate decisions (such as owners, executives, board members and their families). In the normal course of business, we enter into transactions with our related parties. In addition to our directors and officers and one individual who is the beneficial owner of more than ten percent of our outstanding common stock, below is a list of related parties with whom we have had significant transactions during the presented periods:

1)
Solid Crossing Inc. ("Solid Crossing") and Wade Real Estate, LLC. SGB's corporate office space is leased from Solid Crossing, whose owners are affiliates of SGB. Pinehurst's primary office space is leased from Wade Real Estate, LLC, which is owned by the former majority owner of Pinehurst, who is a related party.
2)
Equity method investees. As of September 30, 2026, the Company had six investments in privately-held entities which have been determined to be equity method investees and related parties.
3)
Tether. In February 2026, the Company entered into a definitive agreement with TPM, S.A. de C.V (collectively, with its affiliates, "Tether") whereby Tether agreed to purchase shares of the Company's common stock as described in Note 17. Tether obtained the right to appoint, and did appoint, a member to the Company’s board of directors. The Company has entered into various commercial agreements with Tether whereby the Company leases precious metals from Tether, and Tether purchases and sells precious metals with the Company. Tether also utilizes the Company’s secure storage and logistics services. In addition, we purchased $20.0 million of XAU₮, a gold-backed stablecoin sponsored by Tether.

Our related party transactions primarily include (i) sales and purchases of precious metals, (ii) financing activities, (iii) repurchase arrangements, (iv) hedging transactions, and (v) related party facility lease and construction arrangements. Below is a summary of our related party transactions. The amounts presented for each period reflect each entity’s related party status for that period.

Balances with Related Parties

Receivables and Payables and Customer Advances, Net

Our related party net receivables as well as payables and customer advances balances were as shown below (in thousands):

 

 

September 30, 2026

 

June 30, 2026

 

 

Receivables

 

Payables and Advances

 

Receivables

 

Payables and Advances

Equity method investees

 

 

10,781

 

 

 

 

—

 

 

 

 

3,018

 

 

 

 

4,067

 

 

Tether

 

 

—

 

 

 

 

764,284

 

 

 

 

—

 

 

 

 

1,453,848

 

 

Other

 

 

165

 

 

 

 

1,629

 

 

 

 

215

 

 

 

 

2,888

 

 

 

$

10,946

 

 

 

$

765,913

 

 

 

$

3,233

 

 

 

$

1,460,803

 

 

Stablecoins

The Company purchased stablecoins from Tether called XAU₮ tokens in April 2026 which are recorded within prepaid and other current assets on the consolidated balance sheets. See further information in Note 3.

Operating Lease Right of Use Assets

As of September 30, 2026 and June 30, 2026, our related party right of use assets were $2.5 million and $2.7 million, respectively.

Long-term Investments

As of September 30, 2026 and June 30, 2026, the aggregate carrying balance of our equity method investments was $27.5 million and $27.0 million, respectively. (See Note 10.)

Notes Payable

On April 1, 2021, CCP entered into a loan agreement ("CCP Note") with CFC, which provides CFC with up to $4.0 million to fund commercial loans secured by graded sports cards to its borrowers. Effective July 2026, CCP became a consolidated subsidiary of the Company and the CCP Note has been eliminated upon consolidation.

In February 2025 in connection with the acquisition of Pinehurst, the Company assumed a promissory note with the former majority owner of Pinehurst for $3.1 million. This promissory note had a maturity date of August 1, 2026 and bore interest at a rate of 5% per annum. This promissory note was repaid in full during the three months ended June 30, 2026.

Activity with Related Parties

Sales and Purchases

Our sales to and purchases from related parties were as follows (in thousands):

 

 

 

 

Three Months Ended September 30,

 

 

 

 

2026

 

 

2025

 

 

 

 

Sales To

 

 

Purchases From

 

 

Sales To

 

 

Purchases From

 

Equity method investees

 

 

 

53,291

 

 

 

8,551

 

 

 

65,219

 

 

 

3,099

 

Tether

 

 

 

827,066

 

 

 

55,326

 

 

 

—

 

 

 

—

 

 

 

$

880,357

 

 

$

63,877

 

 

$

65,219

 

 

$

3,099

 

Interest Income and Expense

We recorded interest income and expense from related parties as set forth below (in thousands):

 

 

 

 

Three Months Ended September 30,

 

 

 

2026

 

 

2025

 

 

Interest income from secured loan and other receivables

 

 

$

155

 

 

$

—

 

 

Interest income from finance products and repurchase arrangements

 

 

 

158

 

 

 

121

 

 

 

 

$

313

 

 

$

121

 

 

 

 

 

 

 

 

 

 

Interest expense from note payables

 

 

$

—

 

 

$

8

 

 

Interest expense from precious metals leases

 

 

 

5,882

 

 

 

—

 

 

 

 

$

5,882

 

 

$

8

 

 

Selling, General, and Administrative Expense

The Company incurred selling, general, and administrative expense related to its related party leasing and consulting agreements of $0.5 million and $0.5 million during the three months ended September 30, 2026 and 2025, respectively.

Equity Method Investments — Earnings, Dividends and Distributions Received

The Company's proportional share of our equity method investee's earnings (losses) totaled $0.5 million and ($0.9) million during the three months ended September 30, 2026 and 2025, respectively.

The Company received dividend and distribution payments from our equity method investees that totaled, in the aggregate, $0.1 million and $49,000 during the three months ended September 30, 2026 and 2025, respectively.

Other Income

The Company earned royalty and consulting services income from related parties that totaled $19,000 and $19,000 during the three months ended September 30, 2026 and 2025, respectively.

Transactions with Directors and Officers

Directors and officers of the Company engaged in transactions through the Company for an aggregate dollar value of $2.5 million and $0.3 million during the three months ended September 30, 2026 and 2025, respectively.