BitAccess maintained a stock option plan for its employees under the Amended and Restated Stock Option Plan, (the “BitAccess Plan”). Pursuant to BitAccess Plan agreement, awards of stock options and restricted stock units (“BitAccess RSUs”) were permitted to be made to employees and shareholders of BitAccess. As of June 30, 2024, all awards under the BitAccess Plan had been issued.

The options under the BitAccess Plan generally vest over a two-year period following the one-year anniversary of the date of grant and expire not more than 10 years from the date of grant.

A summary of the BitAccess Plan’s stock option activity and related information is as follows:


	Amount or number of Options		Weighted-average exercise price		Weighted-average remaining contractual term		Weighted-average grant-date fair value
Outstanding at January 1, 2024		43,780	$	2.86		8.60	$	1.21
Granted		—	$	—		—	$	—
Exercised		—	$	—		—	$	—
Outstanding at June 30, 2024		43,780	$	2.86		8.10	$	3.09
Vested and exercisable at June 30, 2024		17,722	$	2.86		—	$	3.10


	Amount or number of Options			Weighted-average exercise price		Weighted-average remaining contractual term		Weighted-average grant-date fair value
Outstanding at January 1, 2023		106,938		$	1.04		8.86	$	1.13
Granted		39,600		$	2.86		9.76	$	3.05
Exercised		(68,058	)	$	—		—	$	4.44
Outstanding at June 30, 2023		78,480		$	2.86		9.21	$	3.09
Vested and exercisable at June 30, 2023		4,167		$	2.86		—	$	3.07

The BitAccess RSUs under the BitAccess Plan generally vest over a two-year period beginning following the one-year anniversary of the date of grant and expire not more than 10 years from the date of grant. There were no outstanding RSUs as of June 30, 2024. A summary of the BitAccess Plan’s BitAccess RSU award activity for the three and six months ended June 30, 2023 is as follows:


	Restricted Stock Units
Outstanding at January 1, 2023		81,142
Exercised		(23,308	)
Outstanding at March 31, 2023		57,834
Exercised		(32,193	)
Outstanding at June 30, 2023		25,641
Forfeited		(25,641	)
Outstanding at December 31, 2023		—

The Company recognized compensation expense of $0 million during the three and six months ended June 30, 2024, and $0.2 million and $0.4 million during the three and six months ended June 30, 2023, respectively, related to the BitAccess Plan. These amounts are included in selling, general and administrative expenses in the Consolidated Statements of (Loss) Income and Comprehensive (Loss) Income. As of June 30, 2024, there was immaterial unrecognized compensation expense related to BitAccess Plan’s for non-vested restricted shares.

Pursuant to the Incentive Plan the Board is authorized to grant awards of Class A common Stock, incentive stock options, non statutory stock options, RSUs and restricted stock in an aggregate amount up to 6,029,445 shares of Class A common stock to eligible recipients, as defined in the Incentive Plan. The Company recognized $1.7 million and $2.6 million of share-based compensation expense during the three and six months ended June 30, 2024. Share-based compensation expense is included within selling and administrative expenses in the Consolidated Statements of (Loss) Income and Comprehensive (Loss) Income.

During the three and six months ended June 30, 2024, the Company's Compensation Committee determined that the performance targets were met and approved the granting of 580,116 fully vested performance-based RSUs ("PSUs"). For these PSUs, the Company recognized stock compensation in the Statement of Stockholders Equity and Member' Equity as Additional-Paid-In Capital and Stock Compensation expense on the Consolidated Statements of (Loss) Income and Comprehensive Income during the three and six months ended June 30, 2024 of $1.1 million. The Company had no unrecognized compensation expense associated with PSUs as of June 30, 2024.

During the three and six months ended June 30, 2024, the Company granted 1,032,447 and 1,037,286 time-based RSUs, respectively. These RSUs vest one-third on the first anniversary of the grant date and in equal quarterly installments over the next two years.

For these time-based RSUs, the Company recognized stock-based compensation in the Consolidated Statement of Stockholders' Equity as Additional Paid-In Capital and stock-based compensation expense on the Consolidated Statements of (Loss) Income and Comprehensive Income during the three and six months ended June 30, 2024 of $0.6 million and $1.5 million. The Company had unrecognized compensation expense associated with time-based RSUs of $3.1 million as of June 30, 2024.


	Amount of PSUs			PSU Weighted-average grant date fair value		Amount of RSUs			RSU Weighted-average grant date fair value
Outstanding at January 1, 2024		—		$	—		1,352,085		$	3.59
Granted		580,116		$	1.90		1,037,286		$	1.90
Vested		(580,116	)	$	1.90		(206,072	)	$	3.58
Forfeited		—		$	—		(55,481	)	$	2.95
Outstanding at June 30, 2024		—		$	—		2,127,818		$	2.78

During the three and six months ended June 30, 2024, the Company did not issue any performance-based RSUs.