Cash and Cash Equivalents

3 Months Ended

Mar. 31, 2020

4. CASH AND CASH EQUIVALENTS

The fair value and the amortized cost of cash and cash equivalents by major security type are presented in the tables that follow (in thousands).


	As of March 31, 2020
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
Cash and cash equivalents	Cost		Gains		Losses		Fair Value
Cash and money market funds	$	32,854	$	—	$	—	$	32,854


	As of December 31, 2019
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
Cash and cash equivalents	Cost		Gains		Losses		Fair Value
Cash and money market funds	$	32,649	$	—	$	—	$	32,649

As of March 31, 2020 and December 31, 2019, the Company had no available-for-sale securities.

Fair Value Measurements

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Three levels of inputs, of which the first two are considered observable and the last unobservable, may be used to measure fair value. The three levels are:

Level 1 — Quoted prices in active markets for identical assets or liabilities.

Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The following table represents the fair value hierarchy for our cash, cash equivalents and available-for-sale securities by major security type (in thousands):


	As of March 31, 2020
	Level 1		Level 2		Level 3		Total
Cash and money market funds	$	32,854	$	—	$	—	$	32,854


	As of December 31, 2019
	Level 1		Level 2		Level 3		Total
Cash and money market funds	$	32,649	$	—	$	—	$	32,649