FAIR VALUE OF FINANCIAL INSTRUMENTS

3 Months Ended

Mar. 31, 2022

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

5. FAIR VALUE OF FINANCIAL INSTRUMENTS

The following table sets forth the Company’s financial instruments that were measured at fair value on a recurring basis by level within the fair value hierarchy:

	Fair Value Measurement at March 31, 2022
	Total		Level 1		Level 2		Level 3
Investment in term promissory note of Ault & Company, Inc. (“Ault & Company”) and other – a related party	$	2,653,000	$	-	$	-	$	2,653,000
Investment in common stock of Alzamend Neuro, Inc. (“Alzamend”) – a related party		8,729,000		8,729,000		-		-
Investments in marketable equity securities		16,158,000		16,158,000		-		-
Cash and marketable securities held in trust account		116,737,000		116,737,000		-		-
Investments in equity securities		37,091,000		-		-		37,091,000
Total assets measured at fair value	$	181,368,000	$	141,624,000	$	-	$	39,744,000

	Fair Value Measurement at December 31, 2021
	Total		Level 1		Level 2		Level 3
Investment in term promissory note of Ault & Company and other – a related party	$	2,842,000	$	-	$	-	$	2,842,000
Investment in common stock of Alzamend – a related party		13,230,000		13,230,000		-		-
Investments in marketable equity securities		40,380,000		40,380,000		-		-
Cash and marketable securities held in trust account		116,725,000		116,725,000		-		-
Investments in equity securities		30,482,000		-		-		30,482,000
Total assets measured at fair value	$	203,659,000	$	170,335,000	$	-	$	33,324,000

The Company assesses the inputs used to measure fair value using the three-tier hierarchy based on the extent to which inputs used in measuring fair value are observable in the market.

The following table summarizes the changes in investments in equity securities measured and carried at fair value on a recurring basis with the use of significant unobservable inputs (Level 3) for the three months ended March 31, 2022:

	Investments in equity securities
Balance at January 1, 2022	$	30,482,000
Investment in equity securities		3,820,000
Change in fair value of warrants		10,281,000
Unrealized gains on equity securities		3,180,000
Conversion to marketable securities		(10,672,000	)
Balance at March 31, 2022	$	37,091,000

See Note 8 for the changes in investments in Ault & Company measured and carried at fair value on a recurring basis with the use of significant unobservable inputs (Level 3) during the three months ended March 31, 2022.