FASB rules ‘eliminate the poor optics’ that shied firms from crypto: Analyst
“The change should help MicroStrategy and other companies that hold digital assets to eliminate the poor optics that have been created by impairment losses,” said analysts from Berenberg Capital. The United States Financial Accounting Standards Board’s new rules for crypto accounting will eliminate the “poor optics” that plagued companies holding digital assets, according to analysts from Berenberg Capital. On Sept. 6, the U.S. Financial Accounting Standards Board (FASB) approved new rules for crypto currencies with regard to how companies report the fair value of their holdings on their balance sheets. In a follow-up analyst note from Berenberg’s senior equity research analyst Mark Palmer, the analyst argued the changes would be particularly beneficial for companies such as Microstrategy, who will soon be able to report their digital asset holdings each quarter without having to realize impairment losses. “The change should help MicroStrategy and other companies that hold digital as...