Related Party Notes Payable

9 Months Ended

Sep. 30, 2022

The Company has been significantly funded by notes payable from related parties. These related parties include employees as well as affiliates of employees, affiliates, and other companies controlled or previously controlled by the Company’s founder and Chief Product and User Ecosystem Officer.

Related party notes payable consists of the following as of September 30, 2022:


Note Name	Contractual Maturity Date	Contractual Interest Rates	Balance as of September 30, 2022		Interest Expense for the Three Months Ended September 30, 2022		Interest Expense for the Nine Months Ended September 30, 2022
Related party notes – China(1)	Due on Demand	18%	$	8,451	$	996	$	2,931
Related party notes – China various other	Due on Demand	—%	3,802		—		—
			$	12,253	$	996	$	2,931

(1)As of September 30, 2022, the Company was in default on a related party note with a principal value of $8,451.

The estimated fair value of the related party notes payable, which are not carried at fair value, using inputs from Level 3 under the fair value hierarchy, was $12,726 and $13,337 as of September 30, 2022 and December 31, 2021, respectively.

Related party notes payable consists of the following as of December 31, 2021:


	December 31, 2021
Note Name	Contractual Maturity Date	Contractual Interest Rates	Unpaid Balance		Net Carrying Value at 12/31/21
Related party notes - China	Due on Demand	18%	$	9,411	$	9,411
Related party notes - China various other	Due on Demand	0%	4,244		4,244
Total related party notes payable			$	13,655	$	13,655