Fair Value Measurement (Tables)

6 Months Ended

Jun. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis

The Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2020 consisted of the following:

	Fair Value Measurement at June 30, 2020
	Total		Level 1		Level 2		Level 3
Recurring fair value measurements
Cash equivalents - money market funds	$	38,011,208	$	38,011,208	$	—	$	—
Short-term investments		15,484,402		—		15,484,402		—
Contingent consideration		16,390,000		—		—		16,390,000
Warrant liability		10,000		—		—		10,000

The Company’s assets and liabilities measured at fair value on a recurring basis at December 31, 2019 consisted of the following:

	Fair Value Measurement at December 31, 2019
	Total		Level 1		Level 2		Level 3
Recurring fair value measurements
Cash equivalents - money market funds	$	8,034,640	$	8,034,640	$	—	$	—
Short-term investments		28,277,386		—		28,277,386		—
Contingent consideration		2,750,000		—		—		2,750,000
Warrant liability		10,000		—		—		10,000

Schedule of Short Term Investments

Short-term investments had quoted prices at June 30, 2020 as shown below:

	June 30, 2020
	Amortized Cost		Unrealized Gain (Loss)		Market Value
Certificate of deposit	$	5,000,000	$	—	$	5,000,000
Financial and corporate debt securities		10,475,942		8,460		10,484,402
Total	$	15,475,942	$	8,460	$	15,484,402

Schedule of Reconciliation of Beginning and Ending Balance of Contingent Consideration Liability

The fair value of contingent payments classified as a liability was based on the regulatory milestones described in Note 3 and estimated using the Monte Carlo simulation valuation model with Level 3 inputs. The following table is a reconciliation of the beginning and ending balance of contingent consideration liability:

Balance at December 31, 2019	$	2,750,000
Change in fair value		13,640,000
Balance at June 30, 2020	$	16,390,000

Summary of Assumptions Used to Estimate Fair Value of Contingent Payments

The assumptions used to estimate the fair value of contingent payments that are classified as a liability at June 30, 2020 include the following significant unobservable inputs:

Unobservable input	Value or Range	Weighted Average
Expected volatility	112.9%	112.9%
Risk-free interest rate	0.16%	0.16%
Cost of capital	30.0%	30.0%
Discount for lack of marketability	14%-22%	18.0%
Probability of payment	52%-83%	76%
Projected year of payment	2020-2022	2020