ASSESSMENT OF ACCOUNTING AND REPORTING REPRESENTATION OF VIRTUAL ASSETS OF AN ENTERPRISE

Abstract

The process of human activity development is sequential, meaning that with the emergence of new knowledge and production technologies, economic conditions change. The modern environmentally oriented direction of societal development requires a thorough review of business activity and management mechanisms. External and internal factors influencing the development of socio-economic processes are constantly changing, leading to increased uncertainty and instability. This necessitates the development of new management mechanisms for making effective decisions that correspond to the dynamic changes in influencing factors. Analytical understanding of the processes of formation and use of virtual assets is key to building an effective management system. Virtual assets, such as cryptocurrencies, tokens, and other digital assets, play an important role in the economic environment. The article considers methodological approaches to assessing the accounting and reporting reflection of virtual assets of an enterprise. Although virtual assets are becoming increasingly important elements of the modern economy, their accounting and reporting cause significant difficulties due to the lack of established standards and methods in the system of institutional accounting theory.

The article analyzes existing approaches to accounting for virtual assets, their advantages and disadvantages, and also offers recommendations for improving accounting and reporting procedures. The main attention is paid to the issues of assessing the value of virtual assets, their classification and reflection in the financial statements of the enterprise. Various valuation methods, such as fair value, historical cost and other approaches used in international practice in accordance with IFRS requirements, are considered. Special attention is paid to the analysis of risks associated with the ownership and use of virtual assets, as well as their impact on the financial condition of the enterprise. The article also discusses the issues of regulation and standardization of accounting for virtual assets at the national and international levels. Recommendations are offered for adapting existing accounting standards to the specifics of virtual assets, as well as developing new methodologies that take into account the peculiarities of the digital economy.