The price of Bitcoin has collapsed today to its lowest level in 16 months amid the huge sell-off of digital assets in the crypto market. Other major cryptocurrencies that suffered a drop along with these risky assets are technology stocks.
Right now, the world’s largest cryptocurrency by market cap is down 14% in the last 24 hours trading at $26,842.
FASB to add a project!
However, considering any significant developments amid the cryptocurrency crash, the Financial Accounting Standards Board (FASB) has made a decision to address the recognition and measurement of digital assets, but in a unanimous vote.
In this regard, a discussion will be held to review the accounting for digital assets and products traded on exchanges.
While speaking about the FASB, Michael Saylor, CEO of MicroStrategy, congratulated the Bitcoin community and stated that the FASB has now agreed to include the project unanimously 7-0.
On the other hand, Kraken exchange director Dan Held states that this is an incredible move, one step closer to helping companies own Bitcoin on their balance sheet and count towards it.
FASB decision to see long-term breakthrough
Following the FASB board meeting, the FASB stated that the primary reason for this decision-making meeting was to discuss whether a project needs to be included in its technical agenda to address certain digital assets and products. This decision will definitely impact as a long-term breakthrough.
In November 2018, the International Accounting Standards Board (IASB) made a decision to add a project on cryptocurrency holdings or ICOs. Later in June 2019, the International Financial Reporting Standards (IFRS) held a discussion on how IFRS standards could be applied to cryptocurrency holdings.
Later, the outcome of the discussion was that the committee noted that a cryptocurrency holding meets the definition of intangible assets in IAS 38, Intangible Assets, as it can be successfully separated from the holder and from the one being sold or transferred individually. This film does not entitle a holder to receive a fixed number of currency units.
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This post This FASB decision towards Crypto will be a breakthrough in the future! How will the price of BTC react now?
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