Company: DAAQ
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078074
Chunk: 178

Company: Digital Asset Acquisition Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Item 1
Chunk 178
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 defines a fair value-based method of accounting for an employee share option or similar equity instrument. The Company recognizes
all forms of share-based payments at their fair value on the grant date, which are based on the estimated number of awards that are ultimately
expected to vest. Share-based payments are valued using a Black-Scholes option pricing model. Grants of share-based payment awards issued
to non-employees for services rendered have been recorded at the fair value of the share-based payment, which is the more readily determinable
value. The grants are amortized on a straight-line basis over the requisite service periods, which is generally the vesting period. If
an award is granted, but vesting does not occur, any previously recognized compensation cost is reversed in the period related to the
termination of service. Share-based compensation expenses are included in costs and operating expenses depending on the nature of the
services provided in the statements of operations.

10

DIGITAL
ASSET ACQUISITION CORP. 

JUNE
30, 2025

NOTES
TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

Recently
Adopted Accounting Standards

In
November 2023, the FASB issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements
to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in this ASU require disclosures, on an annual and interim
basis, of significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”), as well
as the aggregate amount of other segment items included in the reported measure of segment profit or loss.

The
ASU requires that a public entity disclose the title and position of the CODM and an explanation of how the CODM uses the reported measure(s)
of segment profit or loss in assessing segment performance and deciding how to allocate resources. Public entities will be required to
provide all annual disclosures currently required by ASC Topic 280, Segment Reporting (“ASC 280”) in interim periods,
and entities with a single reportable segment are required to provide all the disclosures required by the amendments in this ASU and
existing segment disclosures in ASC 280. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods
within fiscal years beginning after December 15, 2024, with early adoption permitted. The Company adopted ASU 2023-07 on December 9,
202