Company: DJTWW
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001140361-25-040977
Chunk: 183

Company: Trump Media & Technology Group Corp.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 8
Chunk 183
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 to secure them. The cost basis of
      our digital assets is calculated using the weighted-average method.

      9

Digital assets purchased are initially recorded at cost, including capitalized transaction costs or fees, and subsequently, remeasured at fair value based on the exchange quoted price throughout the
      reporting period, with changes in fair value recognized on the condensed consolidated statement of operations.

    Concentrations of risks

    Our financial instruments are exposed to concentrations of credit risk consisting primarily of cash and cash equivalents and short-term investments.  Although we deposit cash and cash equivalents with
      multiple banks, these deposits may exceed the amount of insurance provided on such deposits.  These deposits may generally be redeemed upon demand and in our opinion bear minimal risk.

    One advertising platform accounted for 85% and 94% of our total revenue for the nine months ended September 30, 2025 and 2024, respectively.

    In order to reduce the risk of downtime of the media offerings we provide, we have established data centers in various geographic regions.  We have internal procedures to restore products in the event
      of a service disruption or disaster at any of our data center facilities.  We serve our customers and users from data center facilities operated either by us or third parties.  Even with these procedures for disaster recovery in place, the
      availability of our products could be significantly interrupted during the implementation of restoration procedures.

    Recently issued accounting standards

    In December 2023, the FASB issued Accounting Standards Update, or ASU, 2023-08, Intangibles-Goodwill and Other-Crypto Assets (Subtopic 350-60): Accounting for
      and Disclosure of Crypto Assets (“ASU 2023-08”).  ASU 2023-08 requires digital assets to be measured at fair value as of the end of each reporting period in the balance sheet, with gains and losses from changes in fair value of the digital assets
      recognized in net income for each reporting period.  We determine the fair value of bitcoin and Cronos in accordance with ASC 820, Fair Value Measurement, based on quoted (unadjusted) prices on its principal
      market.  This update also requires certain interim and annual disclosures for digital assets within the scope of the standard.  This ASU is effective for fiscal years beginning after December 15, 2024.  The adoption of this standard will have a
      material impact on the presentation of our condensed consolidated financial statements, due to