Exodus Movement, Inc.

17. Restructuring

On July 16, 2026, the Board of Directors approved the 2026 Restructuring Plan that includes a reduction in force to align the Company’s cost structure and organizational priorities with its strategy to build a full-stack card issuance and payments platform. The Company expects to incur total employee severance and benefit costs of approximately $4.6 to $5.7 million and expects the plan to be substantially complete by the end of the fourth quarter of 2026.

During the three and nine months ended September 30, 2026, the Company recognized $3.7 million of employee severance and benefit costs, representing cumulative costs incurred under the plan, within digital asset services expenses, payment processing expenses, and general and administrative expenses on the condensed consolidated statements of operations and comprehensive (loss) income. Of these costs, $1.8 million related to the Digital Asset Services segment and $1.9 million related to the Payment Processing Services segment. In connection with the plan, the Company also recognized a non-cash net benefit of $0.5 million during the three and nine months ended September 30, 2026, consisting of the reversal of previously recognized stock-based compensation expense for forfeited awards, partially offset by expense recognized for awards with accelerated vesting, within digital asset services expenses and general and administrative expenses.

The following table presents the changes in the Company's restructuring liability:

(1)The remaining liability is expected to be paid by the second quarter of 2027.