Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Summary of financial assets measured at fair value on a recurring basis

The following table summarizes the Company’s financial assets measured at fair value on a recurring basis at September 30, 2022 and December 31, 2021 by level within the fair value hierarchy. Financial assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement (in thousands):

	At September 30, 2022								At December 31, 2021
							Total Fair								Total Fair
	Level 1		Level 2		Level 3		Value		Level 1		Level 2		Level 3		Value
Assets:
Cash equivalents	$	60,224	$	—	$	—	$	60,224	$	234,763	$	—	$	—	$	234,763
Total assets	$	60,224	$	—	$	—	$	60,224	$	234,763	$	—	$	—	$	234,763

	At September 30, 2022								At December 31, 2021
							Total Fair								Total Fair
	Level 1		Level 2		Level 3		Value		Level 1		Level 2		Level 3		Value
Liabilities:
Contingent consideration, current	$	—	$	—	$	1,959	$	1,959	$	—	$	—	$	—	$	—
Contingent consideration, non-current	$	—	$	—	$	4,522	$	4,522	$	—	$	—	$	—	$	—
Total liabilities	$	—	$	—	$	6,481	$	6,481	$	—	$	—	$	—	$	—

Summary of Changes in Fair Value of the Derivative Asset

The following table summarizes the changes in fair value of the derivative asset for the escrow payment upon the sale of the equity method investment in Accu-Trade in March 2022 (in thousands). The gain from the changes in fair value of the derivative asset was recognized in gain (loss) from equity method investment in the accompanying consolidated statements of comprehensive loss.

	Three Months Ended September 30, 2022		Nine Months Ended September 30, 2022
Fair value, beginning of period	$	—	$	—
Additions	—		1,100
Changes in fair value	—		1,846
Escrow settlement receivable	2,946		—
Cash payments	(2,946)		(2,946)
Fair value, end of period	$	—	$	—

Schedule of changes in fair value of contingent consideration obligation

The following table summarizes the changes in fair value of the contingent consideration obligation related to the Company’s acquisition of Digital Motors:

	Three Months Ended September 30, 2022		Nine Months Ended September 30, 2022
Fair value, beginning of period	$	6,302	$	—
Additions	—		6,302
Changes in fair value	179		179
Fair value, end of period	$	6,481	$	6,481

Fair Value Measurement Inputs and Valuation Techniques

The following table summarizes the significant unobservable inputs and valuation technique in the fair value measurement of the contingent consideration liability at September 30, 2022:

Valuation Technique	Unobservable Inputs	Value Range
Scenario-Based model	Probabilities of achievement	85.6% to 99.9%
	Discount rates	6.8% to 7.8%