*Hidden truth in the balance sheet of Major Ai companies:*
According to ASC 842 and IFRS 16 what should be done in the balance sheet?
Companies like Meta, Microsoft, Amazon Google etc have a long-term lease agreement of billions of dollars for their data centers.
What's missing?
*Balance Sheet Recognition:* Lessees must record a Right-of-Use (ROU) asset and a corresponding lease liability for all leases with terms exceeding 12 months.
*ASC-840 & 842:* Under the old ASC 840 standard, operating leases were kept off the balance sheet. But ASC 842 eliminates this for transparency.
*IAS 17* tells us only required finance leases to be capitalized on the balance sheet while operating leases were kept off-balance-sheet same like ASC 840.
But
*IFRS 16 (Leases)* requires lessees to disclose almost all long-term leases on the balance sheet as a right-of-use asset and a corresponding lease liability.
Under IFRS 16 - Leases, the operating-versus-finance lease distinction for lessees is eliminated. All leases longer than 12 months (unless meeting specific low-value exemptions) must be recognized on the balance sheet. Same like ASC 842.
The lease liability is measured at the present value of future lease payments discounted using the interest rate implicit in the lease or the entity's incremental borrowing rate.
Don't get it? Ok let me explain in simple words, under the current rule a signed lease does not show up in the balance sheet as a liability until it commences. Now the game being played is that the data centers are under construction that's why these leases are not still commenced in the balance sheet as a liability. Simply liability is hidden.
When these data centers will be built and go online then the full present value of those long-term leases must show up in the balance sheet in a single entry.
The record of this single entry will blow up the whole balance sheet of these companies when their liability side will increase by: Microsoft $329B Meta $347B Amazon $137B Etc...
My quantitative analysis 🙈 says there’s going to be a rate hike at the FOMC—maybe 50 bps; otherwise, 25 bps is confirmed. Markets will crash—gold, BTC, etc... Save this message... $BTC $XAUT
Crypto Cycles I have personally experienced. Bull Run and Bear Market. Abhi tak to aesa he pattern chalta aa rha hai lets see bottom Oct k 1st week mai milta hai ya is bar mai ghalt sabit hota hun.
📢*Alert*: 2008 can happen any time. Reason: No correlation between any asset class. Gold🩸 Silver🩸 Stocks🩸 Oil🩸 Crypto🩸 Dxy🩸 Bond yields🩸 Where is liquidity going? Dxy? No... Bonds? No... Then where?? Investor in cash? What do they know? The same happened in 2008. Recession? No Depression loading...! 38k intact? Even worse can happen. #TradersShiftBTCToStablecoins
🔥 【BTC Weekly Price Prediction (May 25–31)】 Smart Money Starts Positioning as Market Sentiment Heats Up
🗣 Total volume: $130K+ 🗣 Probability of falling below $76,000: 81% 🗣 Probability of breaking above $80,000: 21% 🗣 Smart Money and whale accounts are actively accumulating positions
📈 Will $BTC break key levels this week, or stage an unexpected reversal?
Eth bearflag was broken 2 days back, closes below bearflag and yesterday it successfully retested the bearflag resistance. Next stop in macro TF is around 1100-1200 and may be under 1k. Alts Innalilahe wa inna illahe rajioon🤷
🚨 *Potential Gems That Binance Can List In Futures!*🚨
Hey everyone! Binance has been super active with futures listings, and we've seen low-cap coins like REI, GHST, and FIDA rally over 100% after getting listed! As promised, here are **three low-cap coins** that are showing similar strength and could have big potential.
*1. BURGER (BNB Chain)* - Low cap on the BNB chain - CZ is back, which could boost the BNB ecosystem - The *team is super active*, rolling out upgrades and new developments - Trading volume is rising steadily, showing strength like REI and FIDA before their futures listing.
*2. VITE (BNB Chain)* - Similar use case as BURGER (AI + DeFi) - High spot volume—possible future listing - *Active development* with regular updates from the team - AI sector is hot, and VITE could be next to take off.
*3. STPT (Ethereum)* - Based on Ethereum, strong in the AI sector - Daily volume over $1M, consistently showing strength - *The team is actively working* on upgrades and new features - This one also has the potential to be listed soon.
*Important*: Teams behind previous futures-listed coins like REI, GHST, and FIDA were *very active*, and we’re seeing the same energy and progress from the teams behind BURGER, VITE, and STPT.
*Remember*: These are just my observations and not financial advice. Always do your own research (DYOR) and consider buying in parts or marking key levels on your charts. Let's stay sharp and keep an eye on these! 💡📈
Note: I recommend u to not invest more than 50-100$ in each coin of each catagory. U hv almost 3-4 Gem coins from every catagory, u can buy all or u can buy just one its upto u and ur investment. Dont get ur self confuse in meme coins or gem coins. Coin which has a catagory means its not a meme coin it has some type of project. And coin which has no project is a meme coin. Some meme coins are being included in some catagories which indicates that they r no longer meme coins now, their team has backed them with some sort of project like Floki. Now Bonk and Bome are also on solana chain and soon they will be backedup with some projects...
Ai: Rndr Inj Phb Fet Nfp Flux Near These all are the best if best Ai projects we are carrying for bull run...
RWA: Mkr Aave Mpl Cfg Gfi Ondo Rio Tru Lto Polyx Chr Hifi These are the best of best RWA we are carrying plus "CLEO" a risky gem🫶🏻...
Eth eco system: Etherium Op Manta Arb Matic Skl Brock Ethfi Ena Movr
Gaming: Ace Cyber Imx Portal (avoide now) Xai (avoide now) Pixel Beamx Gala Pda Alice Saga Dar These are the best of best gaming coins we are holding plus a risky gem "igu"...
And yes "Core" second Solana🤷♂️
These are the fundamental coins and Narratives we are carrying out of Millions of coins and Hundreds of Narratives...