7.1 Effective Date and Transition
ASC 350-60
65-1 The
following represents the transition and effective date
information related to Accounting Standards Update No.
2023-08, Intangibles — Goodwill and Other — Crypto Assets
(Subtopic 350-60): Accounting for and Disclosure of
Crypto Assets:
- The pending content that links to this paragraph shall be effective for all entities for fiscal years beginning after December 15, 2024, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued (or made available for issuance). If an entity adopts the pending content that links to this paragraph in an interim period, it must adopt the content as of the beginning of the fiscal year that includes that interim period.
- An entity shall recognize the cumulative effect of initially applying the pending content that links to this paragraph as an adjustment to the opening balance of retained earnings (or other appropriate components of equity or net assets in the statement of financial position) as of the beginning of the annual reporting period in which the entity first applies the pending content that links to this paragraph.
- The adjustment to the opening balance of retained earnings (or other appropriate components of equity or net assets in the statement of financial position) shall be calculated as the difference between the carrying amount of crypto assets as of the end of the prior annual reporting period and the fair value of those crypto assets as of the beginning of the annual reporting period in which the entity first applies the pending content that links to this paragraph.
For all entities, the amendments in ASU
2023-08 are effective for fiscal years beginning after December
15, 2024, including interim periods within those years. Early adoption is permitted.
If an entity adopts the amendments in an interim period, it must adopt them as of
the beginning of the fiscal year that includes that interim period.
When adopting the ASU’s amendments, entities are required to record a
cumulative-effect adjustment to retained earnings (or other appropriate components
of equity or net assets) as of the beginning of the annual period of adoption.
Retrospective restatement would not be required or allowed for prior periods.