MicroStrategy, crypto holders can shift to fair value accounting, Bloomberg says

The Financial Accounting Standards Board voted unanimously Wednesday in favor of new rules that are expected to be published by year end that will allow cryptocurrency companies and other businesses with significant crypto holdings to measure the value of their Bitcoin and other holdings at fair value, reported Bloomberg’s Nicola White. MicroStrategy (MSTR), a significant holder of Bitcoin, has previously voiced support for fair value accounting for certain crypto assets including Bitcoin. The rules will go into effect as soon as 2025, but companies will have the option to apply them early, the FASB stated. The rulebook for U.S. accounting does not specifically address how companies like MicroStrategy, Tesla (TSLA) or crypto exchange Coinbase (COIN) need to recognize and measure the digital currencies they own, though companies currently default to an American Institute of CPAs practice guide, Bloomberg noted. Other publicly traded companies in the cryptocurrency space include Bit Digital (BTBT), Core Scientific (CORZ), Greenidge Generation (GREE), Marathon Digital (MARA), Riot Platforms (RIOT), Stronghold Digital Mining (SDIG) and TeraWulf (WULF).