Annual report pursuant to Section 13 and 15(d)

Summary of Significant Accounting Policies (Tables)

v3.22.1
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2021
Accounting Policies [Abstract]  
Details of Right-of-Use Asset and Lease Liability The details of our right-of-use asset and lease liability recognized upon adoption of ASC 842 are set forth below:
January 1, 2021
Right-of-use asset $ 2,101 
Straight-line rent accrual (188)
$ 1,913 
Lease liability, current $ 500 
Lease liability, non-current 1,601
$ 2,101 
The adoption of ASU 2016-02 did not have a material impact on our consolidated statements of operations and comprehensive loss.
Schedule of Changes in Deferred Commissions Changes in deferred commissions for the years ended December 31, 2021 and 2020 are as follows:
2021 2020
Balance, beginning of the period $ 210  $ 309 
Deferral of commissions earned 73  94 
Recognition of commission expense (135) (193)
Balance, end of the period $ 148  $ 210 
Schedule of Concentration Risk The following table sets forth our concentration of accounts receivable, net of specific allowances for doubtful accounts.
December 31,
2021 2020
Customer A 20  % 55  %
Customer B 18  % 16  %
Customer C 0  % 13  %
The following table sets forth our concentration of revenue sources as a percentage of total net revenues.

Year Ended December 31,
2021 2020
Customer D —  % 32  %
Customer E 7  % 12  %
Schedule of Accounts Receivable Accounts receivable consisted of the following:
December 31,
2021 2020
Accounts receivable $ 977  $ 1,020 
Less allowances for doubtful accounts (10) (356)
Accounts receivable, net $ 967  $ 664 
Schedule of Allowance for Doubtful Debt Changes in the allowance for doubtful accounts are as follows:

December 31,
2021 2020
Balance, beginning of period $ 356  $ 3,179 
(Recovery) allowances for bad debt (286) 205 
Issuance of credit memos and write offs (60) (3,028)
Balance, end of period $ 10  $ 356 
Schedule of Digital Assets
The following tables set forth changes in our bitcoin and ethereum holdings:
Bitcoin Digital Asset Original
Cost Basis		 Digital Asset Impairment
Losses		 Digital Asset Carrying
Value
Balance as of December 31, 2020 $ —  $ —  $ — 
Purchases 36,806 36,806
Received from customers 157 157
Impairment loss (8,554) (8,554)
Balance as of December 31, 2021 $ 36,963  $ (8,554) $ 28,409 
Ethereum Digital Asset Original
Cost Basis		 Digital Asset Impairment
Losses		 Digital Asset Carrying
Value
Balance as of December 31, 2020 $ —  $ —  $ — 
Purchases 4,191 4,191
Received from customers 523 523
Impairment loss (670) (670)
Balance as of December 31, 2021 $ 4,714  $ (670) $ 4,044 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share The following table sets forth common stock equivalents that have been excluded from the computation of dilutive weighted average shares outstanding as their inclusion would have been anti-dilutive:
December 31,
2021 2020
Convertible notes —  5,733,712 
Warrants 5,636,801  5,996,112 
Options 925,467  1,208,740 
Restricted stock units 3,576,270  1,677,060 
Restricted shares —  574 
Total 10,138,538 14,616,198
Financial Instruments Measured at Fair Value Our financial instruments measured at fair value as of December 31, 2021 are set forth below:
Level 1 Level 2 Level 3 Total
Assets:
Digital assets $ 32,581  $ —  $ —  $ 32,581 
Total $ 32,581  $ —  $ —  $ 32,581 
Liabilities:
Warrant liability $ —  $ 3,605  $ —  $ 3,605 
Total $ —  $ 3,605  $ —  $ 3,605 


    Our financial instruments measured at fair value as of December 31, 2020 are set forth below:
Level 1 Level 2 Level 3 Total
Liabilities:
Warrant liability $ —  $ 1,614  $ —  $ 1,614 
Total $ —  $ 1,614  $ —  $ 1,614