How does ASC 820 affect the financial reporting of cryptocurrency investments?

3 answers

• Lalit DasMay 20, 2022 · 3 years ago
  ASC 820, also known as the Fair Value Measurement standard, affects the financial reporting of cryptocurrency investments by requiring them to be measured at fair value. This means that the value of the investments should be based on their current market prices. The standard also requires disclosing the fair value hierarchy used to measure the investments, which categorizes the inputs into three levels based on their reliability. Overall, ASC 820 brings more transparency and consistency to the financial reporting of cryptocurrency investments.
  549

  275
• musekmkrNov 29, 2022 · 3 years ago
  ASC 820 is a game-changer for the financial reporting of cryptocurrency investments. It ensures that these investments are valued accurately and consistently, based on their fair market value. This brings more credibility to the financial statements and helps investors make informed decisions. It's a step towards standardizing the reporting of cryptocurrencies, which is crucial for the growing digital asset market.
  418

  140
• 18Haripriyam2023Oct 06, 2020 · 5 years ago
  When it comes to the financial reporting of cryptocurrency investments, ASC 820 plays a significant role. It requires these investments to be measured at fair value, which means their value should reflect the current market prices. This brings more transparency to the financial statements and helps investors understand the true worth of their cryptocurrency holdings. ASC 820 is a necessary standard to ensure accurate and reliable reporting in the ever-evolving world of digital currencies.
  493

  124