Cryptocurrency News
Mark to market accounting meets crypto: New FASB changes
In early September 2023, the US Financial Accounting Standards Board (FASB) finally approved the commonly accepted accounting practice of mark to market accounting to apply to corporations and businesses holding crypto digital assets.
Previously, companies like Microstrategy (NASDAQ:MSTR) and Tesla (NASDAQ:TSLA) needed to file crypto digital assets as intangible assets like goodwill and Intellectual Property (IP). If the value of these intangibles went down, they needed to declare a loss. However, if the value of the intangible went up, these companies were not allowed to declare a gain of asset values.
