ALLOWANCE FOR CREDIT LOSSES

12 Months Ended

Dec. 31, 2021

NOTE 6: ALLOWANCE FOR CREDIT LOSSES

The following table summarizes the allowance for credit losses, which primarily relate to unsecured balances of receivables from Fraudulent Deposit Transactions and losses on margin borrowings, for the periods indicated:


	Year ended December 31,
(in thousands)	2019		2020		2021
Beginning balance	$	6,013	$	17,122	$	34,092
Provision for credit losses	11,109		59,134		78,337
Write-offs	—		(42,164)		(72,213)
Ending balance	$	17,122	$	34,092	$	40,216

During the years ended December 31, 2019, 2020, and 2021, the provision for credit losses related to unsecured balances of receivables from users was $11.1 million, $58.0 million and $77.1 million while the remaining balances were related to other receivables. As of December 31, 2019, 2020, and 2021, the ending allowance for credit losses related to unsecured balances of receivables from users was $17.1 million, $33.5 million, and $38.4 million while the remaining balances were related to other receivables.

During the year ended December 31, 2020, we implemented our policy to write-off unsecured balances when the balance becomes outstanding for over 180 days or when we otherwise deem the balance to be uncollectible. Previously, we did not have sufficient historical information to provide a reasonable basis upon which to write off balances.