Company: FGMCU
Filing Date: 2025-09-18
Form Type: S-4
Source: 0001104659-25-091249
Chunk: 553

Company: FG Merger II Corp.
Filing Date: 2025-09-18
Form: S-4
Chunk 553
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 any sale is completed. We generally mitigate potential credit losses by requiring an unlimited personal guarantee from the borrower’s sponsor/owner and the loan is also secured by the underlying asset(s). Property and Equipment, net Property and equipment are stated at cost, net of accumulated depreciation. Expenditures for maintenance, repairs, and minor improvements are charged to expense as incurred. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation and amortization are removed from the respective accounts, and any gain or loss is included within gain/loss on disposal of assets within the consolidated statements of comprehensive loss. Major improvements with economic lives greater than one year are capitalized. Leasehold improvements are depreciated over the lesser of the lease term or the estimated useful life. Depreciation is computed using the straight-line method over the following estimated useful lives:

| ​                                        | ​ | ​          |
| Computers and other peripheral equipment |   | 3 years    |
| Furniture and fixtures                   |   | 7 years    |
| Machinery and equipment                  |   | 5-15 years |
| Tenant improvements                      |   | 2-5 years  |
| Vehicles                                 |   | 5 years    |
| Casita fixed assets                      |   | 25 years   |

Digital Assets The Company adopted a Bitcoin treasury reserve strategy in May 2025, allowing for a percentage of its assets to acquire Bitcoin (BTC). The Company accounts for its digital assets, which are comprised solely of Bitcoin (BTC), as indefinite-lived intangible assets in accordance with Accounting Standards Update No 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 in-scope crypto assets (including the Company’s bitcoin holdings) to be measured at fair value in the balance sheets, with gains and losses from changes in the fair value of such crypto assets recognized in net income each reporting period. The Company determines the fair value of its Bitcoin in accordance with ASC 820, Fair Value Measurement, using the specific identification method, based on quoted (unadjusted) prices on the Coinbase exchange, the active exchange that the Company has determined is its principal market for Bitcoin (Level 1 input). Changes in fair value are recognized as incurred in the Company’s Consolidated Statements of Operations, within Other Income. The Company establishes a deferred tax liability if the market value of bitcoin at the reporting date is