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Consolidated Balance Sheet Components
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Consolidated Balance Sheet Components Consolidated Balance Sheet Components
Accounts Receivable, Net
Accounts receivable, net consisted of the following (in thousands):
December 31, 2023December 31, 2022
Trade accounts receivable$14,987 $16,284 
Customers, clients and liquidity providers4,121 — 
Unbilled receivables6,125 — 
Deposits939 6,445 
Other receivables4,223 2,787 
Total accounts receivable30,395 25,516 
Less: Allowance for doubtful accounts(731)(210)
Total$29,664 $25,306 
Deposits includes cash, as noted on the consolidated statements of cash flows, at clearing agencies used to settle customer transactions. Amounts payable and receivable to our liquidity providers are reported net by counterparty when the right of offset exists.
Other Current Assets
Other current assets consisted of the following (in thousands):
December 31, 2023December 31, 2022
Prepaid expenses$3,307 $6,060 
Other25 — 
Total$3,332 $6,060 
Property, Equipment and Software, Net
Property, equipment and software, net consisted of the following (in thousands):
December 31, 2023December 31, 2022
Internal-use software$— $4,383 
Purchased software— 99 
Office furniture and equipment— 2,303 
Other computer and network equipment800 4,732 
Leasehold improvements— 10,102 
Property, equipment and software, gross800 21,619 
Less: accumulated amortization and depreciation.(740)(1,875)
Total$60 $19,744 
For the years ended December 31, 2023 and December 31, 2022, depreciation and amortization expense related to property, equipment and software amounted to $5.1 million and $3.5 million, respectively, of which $1.8 million and $1.7 million, respectively, related to amortization expense of capitalized internal-use software placed in service.
The Company conducted a quantitative impairment test of long-lived assets as of December 31, 2023 and concluded certain leasehold improvements, office furniture and equipment and internal use software were fully impaired. An impairment charge of $21.3 million was recognized in “Impairment of long-lived assets” in the consolidated statements
of operations. Significant judgments in this analysis include the division of long-lived assets into asset groups and cashflow assumptions that are consistent with the inputs used in the income approach for the goodwill impairment analysis. See Note 5 for additional information.
The Company conducted a quantitative impairment test of long-lived assets as of December 31, 2022 and concluded certain internal use software was fully impaired. An impairment charge of $8.7 million was recognized in “Impairment of long-lived assets” in the consolidated statements of operations. Significant judgments in this analysis include the division of long-lived assets into asset groups and cashflow assumptions that are consistent with the inputs used in the income approach for the goodwill impairment analysis.
Deposits with Clearinghouse
Total deposits at clearinghouses amounted to $0.2 million and $15.2 million as of December 31, 2023 and December 31, 2022, respectively. Deposits with clearinghouse historically have primarily consisted of the ICE Clear US, Inc. ("ICUS") default resource contribution; however, as described further in Note 8, ICUS returned the contribution on September 29, 2023, as a result of the recent delisting of Bakkt Bitcoin futures and option contracts by IFUS.
Other Assets
Other assets consisted of the following (in thousands):
December 31, 2023December 31, 2022
Operating lease right-of-use assets$11,456 $19,632 
Other1,647 2,826 
Total$13,103 $22,458 
The Company conducted a quantitative impairment test of long-lived assets as of December 31, 2023 and concluded certain right-of-use assets were fully impaired, while certain other right-of-use assets were partially impaired. An impairment charge of $8.9 million was recognized in “Impairment of long-lived assets” in the consolidated statements of operations. Significant judgments in this analysis include the division of long-lived assets into asset groups, discount rates and the market comparable properties included in the hypothetical sublease analysis (Level 2 inputs).
Accounts Payable and Accrued Liabilities
Accounts payable and accrued liabilities consisted of the following (in thousands):
December 31, 2023December 31, 2022
Accounts payable$14,925 $25,975 
Payables to clients and customers4,906 — 
Accrued expenses15,970 15,537 
Purchasing card payable11,830 10,686 
Salaries and benefits payable4,442 13,926 
Loyalty revenue share liability2,686 43 
Other620 620 
Total$55,379 $66,787 
Other Current Liabilities
Other current liabilities consisted of the following (in thousands):
December 31, 2023December 31, 2022
Participation units liability, current$— $275 
Current maturities of operating lease liability3,636 3,014 
Other1,066 530 
Total$4,702 $3,819 
Other Noncurrent Liabilities
Other noncurrent liabilities consisted of the following (in thousands):
December 31, 2023December 31, 2022
Operating lease liability, noncurrent$23,525 $23,402 
Total$23,525 $23,402