Company: EGG
Filing Date: 2025-04-16
Form Type: F-1/A
Source: 0001641172-25-004947
Chunk: 77

Company: ENIGMATIG LTD
Filing Date: 2025-04-16
Form: F-1/A
Chunk 77
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 entirely irrecoverable within the designated period, a provision for doubtful debt is made. Management will consider the Company’s historical losses adjusted to take into account the current market conditions as well as the Company’s clients’ financial condition.

Recent Accounting Pronouncements

We are an “emerging growth company”, or EGC, as defined in the Jumpstart Our Business Startups Act of 2012, or the JOBS Act. Under the JOBS Act, EGC can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act until such time as those standards apply to private companies. We made the election to delay the adoption of new or revised accounting standards.

In December 2024, the FASB issued ASU 2024-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The amended guidance enhances income tax disclosures primarily related to the effective tax rate reconciliation and income taxes paid information. This guidance requires disclosure of specific categories in the effective tax rate reconciliation and further information on reconciling items meeting a quantitative threshold. In addition, the amended guidance requires disaggregating income taxes paid (net of refunds received) by federal, state, and foreign taxes. It also requires disaggregating individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received). The amended guidance is effective for fiscal years beginning after December 15, 2024. The guidance can be applied either prospectively or retrospectively. We are currently in the process of evaluating the impact this amended guidance may have on the footnotes to our consolidated financial statements.

In
December 2024, the FASB issued ASU 2024-08, Intangibles – Goodwill and Other – Crypto Assets (Subtopic 350-60):
Accounting for and Disclosure of Crypto Assets. This amended guidance requires fair value measurement of certain crypto assets each reporting
period with the changes in fair value reflected in net income. The amendments also require disclosures of the name, fair value, units
held, and cost basis for each significant crypto asset held and annual reconciliations of crypto asset holdings. The new guidance is
effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2024, with early adoption permitted.
The Company does not expect the adoption of ASU 2024-08 to have a material effect on its consolidated financial statements.

Except as mentioned above,