The Chamber of Digital Commerce applauds the Financial Accounting Standard Board’s (FASB) unanimous decision to approve its proposed crypto asset standards. The long-anticipated standards will introduce fair value accounting rules for crypto assets, like bitcoin, which will finally provide clear and common-sense accounting rules for this nascent asset class. 

The new rules will better reflect the economics of the technology by measuring crypto assets at fair value, potentially reducing the cost and complexity associated with applying the current cost-less-impairment accounting model.

“Fair value measurement for crypto assets is a big step forward for mainstream adoption of crypto,” said Perianne Boring, Founder and CEO of The Chamber of Digital Commerce. “Measuring these assets at fair value provides a more favorable, equitable accounting treatment. This move highlights the desire of the crypto industry to be treated similarly to other forms and classes of investments.” 

The new rules, expected to be published by the end of 2023, are set to go into effect as soon as 2025, but companies will be able to apply for early adoption. 

FASB’s willingness to collaborate with The Chamber and its diverse membership to achieve this goal is extremely appreciated.

The Chamber looks forward to continuing to be part of the conversation and get these rules over the finish line.

Background:

The Chamber submitted comments to the Financial Accounting Standards Board’s (FASB) Accounting Standards Update (Subtopic 350-60) Accounting for and Disclosure of Crypto Assets in June 2023 calling for fair value measurement of crypto assets. For nearly a decade, The Chamber has advocated for setting clear accounting disclosure rules for crypto assets and this draft proposal gets us one step closer to the clarity our industry deserves.