Hot topic | March 2022
Requires entities undertaking certain digital asset custodial activities to record a safeguarding liability and asset.
Initial and subsequent measurement of the safeguarding obligation liability and related asset will be based on the fair value of the custodied digital assets.
SAB 121 applies to financial statements prepared under either US GAAP or IFRS® Standards for:
Existing registrants apply SAB 121 to financial statements for interim and annual periods ending after June 15, 2022, with retrospective application, at a minimum, to the beginning of the fiscal year.
Other entities subject to SAB 121 apply it in their next submission or filing. Retrospective application is required to either:
Recognition and measurement:
Disclosures:
Evaluating custody of digital assets
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