MicroStrategy stock makes new 52-week lows as SEC rejects non-GAAP bitcoin accounting: Bloomberg

Shares of bitcoin (BTC-USD) "hodlr" MicroStrategy (NASDAQ:MSTR) dips more than 15% intra-day as the Securities Exchange Commission rejects the company's unofficial accounting measures, Bloomberg reports. Of course, bitcoin (BTC-USD -7.2%), which is seen as a proxy for MSTR stock, is falling well below its $40K key level to five-month lows. Specifically, the SEC objects MicroStrategy (MSTR) from using non-GAAP principles to show what its income would have been if it didn't have an impairment charge, Bloomberg notes. Note that bitcoin (BTC-USD) is classified as an intangible asset under GAAP principles, meaning companies that don't qualify as investment firms record digital assets at historical cost and only adjust it if its value declines, Bloomberg cites the SEC's letters. Once impaired, companies cannot revise the value back up if the price recovers. This is a problem when taking into account other volatile cryptos like ethereum (ETH-USD), cardano (ADA-USD), solana (SOL-USD), dogecoin (DOGE-USD) and shiba