Value up from first day of quarter to last day is revenue. Down is lost revenue. Check tsla q4 report they reported using FASB
FASB (Financial Accounting Standards Board) recently changed its accounting rules for Bitcoin (BTC), which has major implications for companies holding BTC, like MicroStrategy (MSTR).
Old FASB Rules (Pre-2024)
BTC was classified as an intangible asset (like goodwill or trademarks).
Companies had to impair BTC holdings if the price dropped below purchase price, meaning they had to report a loss.
If BTC’s price went back up, they could not mark it up as a gain on the balance sheet—gains were only recognized when BTC was sold.
New FASB Rules (Starting 2024)
BTC is now treated as a fair value asset, meaning companies must mark it up or down every quarter based on market price.
Gains and losses from BTC price changes are reported in earnings—even if the company doesn’t sell.
Why This Matters for Earnings & Stock Prices
Companies like MicroStrategy (MSTR), Tesla, and Block will now report Bitcoin gains as earnings each quarter if BTC goes up.
Investors will see higher earnings on financial statements, which can attract more institutional investment.
MSTR, as a leveraged Bitcoin play, benefits massively because its stock value is closely tied to BTC price.
"For a Dude on NOSTR" Explanation
If someone on NOSTR is saying BTC going up "counts as earnings now," they mean that companies holding Bitcoin—like MicroStrategy—will report Bitcoin price increases as part of their official earnings instead of just an asset revaluation on the balance sheet. This change makes BTC gains more visible and impactful for stock valuations.
Old FASB Rules (Pre-2024)
BTC was classified as an intangible asset (like goodwill or trademarks).
Companies had to impair BTC holdings if the price dropped below purchase price, meaning they had to report a loss.
If BTC’s price went back up, they could not mark it up as a gain on the balance sheet—gains were only recognized when BTC was sold.
New FASB Rules (Starting 2024)
BTC is now treated as a fair value asset, meaning companies must mark it up or down every quarter based on market price.
Gains and losses from BTC price changes are reported in earnings—even if the company doesn’t sell.
Why This Matters for Earnings & Stock Prices
Companies like MicroStrategy (MSTR), Tesla, and Block will now report Bitcoin gains as earnings each quarter if BTC goes up.
Investors will see higher earnings on financial statements, which can attract more institutional investment.
MSTR, as a leveraged Bitcoin play, benefits massively because its stock value is closely tied to BTC price.
"For a Dude on NOSTR" Explanation
If someone on NOSTR is saying BTC going up "counts as earnings now," they mean that companies holding Bitcoin—like MicroStrategy—will report Bitcoin price increases as part of their official earnings instead of just an asset revaluation on the balance sheet. This change makes BTC gains more visible and impactful for stock valuations.
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