17/03/2023 Playboy Lost $4.9M on Ethereum It Accepted as NFT Payments

PLBY Group (PLBY), the parent company of Hugh Hefner's Playboy, said it took an impairment loss of $4.9 million on the Ethereum it held last year, as crypto winter saw a significant decline in the broader market prices.

The lifestyle and media company said that it accepted Ethereum as payments for its “Rabbitars” non-fungible tokens (NFTs) launched in 2021, which it holds in its balance sheet as digital assets, according to anannual filing on Thursday. The value of the digital assets sits at $327,000 as of last year, the filing said.

Aprevious filingshows that the company's digital assets were worth $1.75 million as of Sept. 30 of last year.

The company explained that the company accounts for its digital assets as “indefinite-lived intangible assets,” which are subject to impairment losses if the fair value of the assets fall below their carrying value, at any time. The impairment losses that the company takes on the digital assets can’t be recovered, even if the fair value of the assets rise after taking the impairment losses.

“The market price of one Ethereum in our principal market ranged from $964 - $3,813 during the year ended December 31, 2022, but the carrying value of each Ethereum we held at the end of the reporting period reflects the lowest price of one Ethereum quoted on the active exchange at any time since its receipt,” according to the filing. "Therefore, negative swings in the market price of Ethereum could have a material impact on the company's earnings and carrying value, while only time a rise in prices will impact the company’s earnings positively, is when the Ethereum held in the balance sheet, are sold at a gain," the filing said.

The companylaunched its “Rabbitar” NFT projectin October 2021, during the peak of the crypto market. Ether, the native token of Ethereum, lost about 60% in value since October of 2021, according to TradingView data.

Earlier in 2021, Playboy entered into NFT and blockchain technology industry with its NFT drop called “Liquid Summer,” which is a collection of digital artworks created in collaboration with the artist Slimesunday. The collection which minted in May, 2021 features archival photographs of Playboy modelLenna Sjööblom– the so-called “First Lady of the Internet.”



Interesting NFTs
Lake Suwa in Shinano Province, from the series Thirty-six Views of Mt. Fuji
Katsushika Hokusai (1760-1849) Lake Suwa in Shinano Province, from the series Thirty-six Views of Mt. Fuji 1831 - Japan
Her Mind Had Gone Out For A Stroll & Fallen Down The Rabbit Hole
Her Mind Had Gone Out For A Stroll & Fallen Down The Rabbit Hole' is the first programmable piece of art by Kitty Bast. The owner constructs, modifies & tattoos their very own Doll Lady... Is she falling down a rabbit hole, lost in a sea of cats or gazing into the unknown void? Do you like Pink Ladies or Lilac Ladies? Or do you pick the Wild Card? There's always a wild side to an innocent doll face. Is she obsessed with crypto ponies or crypto kitties? Or does she have an insatiable desire for Mr. Honey Badger. Come inside and have a nice cup of NFTea with the bunnies. Is your lady chained to the blockhain? Does your lady shed Bitcoin tears or ETH tears? Does your doll face don a Rotten Heart? Do you HODL to the Moon to meet the ETH Kitty? Do you have an obsession for cyborgs or Puddin'? Would you like a slice of Death by Pink? Is The Cat's Eye green or golden? Little trolls with mini daggers not included. The cheshire cat might trade you his ears for your goggles. Modifications of the Host. How long is forever? Sometimes, just one second.
There are infinite worlds in the Universe with infinite sentient beings inhabiting them. Master autonomously updates once a day at 12am with one of 366 original artworks, showcasing some of the rarest beings, their cities, transport, technology and nature.
*hissing noises*! Kitty #232878 here. I'm here to enjoy grooming and breakdancing. My secret indulgence is cantaloupe. I can't wait to wake you up at 4am for seemingly no reason.
No Future #3/15