OTHER ASSETS

3 Months Ended

Sep. 30, 2023

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

OTHER ASSETS

NOTE 7. OTHER ASSETS

Other Current Assets

Other current assets totaling $973,562 as of September 30, 2023 and $904,153 as of June 30, 2023 are comprised of various components as listed below.

	As of September 30, 2023		As of June 30, 2023
Prepaid expenses	$	949,064	$	889,128
Other current assets		24,498		15,025
Total	$	973,562	$	904,153

Investments

USCF Investments, from time to time, provides initial seed capital in connection with the creation of ETPs or ETFs that are managed by USCF or USCF Advisers. USCF Investments classifies these investments as current assets as these investments are generally sold within one year of the balance sheet date. Investments in which no controlling financial interest or significant influence exists are recorded at fair value with the change included in earnings on the Condensed Consolidated Statements of Income. Investments in which no controlling financial interest exists, but significant influence exists are recorded per the equity method of investment accounting unless the fair value option is elected under Accounting Standards Codification (“ASC”) 825, Fair Value Option. As of September 30, 2023, the USCF Advisers owned $1.2 million of the USCF Gold Strategy Plus Income Fund (“GLDX”), $0.5 million of the USCF Sustainable Battery Metals Strategy Fund (“ZSB”), $3.2 million of the USCF Energy Commodity Strategy Absolute Return Fund (“USE”) and $2.7 million of the USCF Sustainable Commodity Strategy Fund (“ZSC”), which launched in August 2023. As of June 30, 2023, USCF Advisers held positions in GLDX, ZSB and USE of $1.3 million, $1.9 million and $2.6 million, respectively. These funds are related parties managed by USCF Advisers, which are included in other equities in the below table. The Company elected the fair value option related to these investments as the shares were purchased and will be sold on the market and this accounting treatment is deemed to be most informative. In addition to the holdings in GLDX, ZSB and USE, the Company also invests in marketable securities. The Company recognized unrealized gains (losses) of $266 thousand and ($112) thousand for the three months ended September 30, 2023 and September 30, 2022, respectively. As of September 30, 2023 and June 30, 2023, the aggregate of such investments were approximately $13.3 million and $11.5 million, respectively.

All of the Company’s short-term investments are classified as Level 1 assets as of September 30, 2023 and June 30, 2023. Investments measured at estimated fair value consist of the following as of September 30, 2023 and June 30, 2023:

	September 30, 2023
	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Money market funds	$	3,427,983	$	-	$	-		$	3,427,983
Other short-term investments		283,883		-		(1,420	)		282,463
Short-term treasury bills		1,944,981		19,339		-			1,964,320
Other equities – related parties		7,479,426		646,085		(538,494	)		7,587,017
Total short-term investments	$	13,136,273	$	665,424	$	(539,914	)	$	13,261,783

	June 30, 2023
	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Money market funds	$	3,402,472	$	-	$	-		$	3,402,472
Other short-term investments		280,401		-		(1,653	)		278,748
Short-term treasury bills		1,952,010		16,950		-			1,968,960
Other equities – related parties		5,971,926		88,345		(229,470	)		5,830,801
Total short-term investments	$	11,606,809	$	105,295	$	(231,123	)	$	11,480,981

During the three month and one year periods ended September 30, 2023 and June 30, 2023, respectively, there were no transfers between Level 1 and Level 2.

Restricted Cash

At September 30, 2023 and June 30, 2023, Gourmet Foods had on deposit approximately NZ$20,000 (approximately US$11,993 and US$12,209, respectively after currency translation) securing a lease bond for one of its properties. The cash securing the bond is restricted from access or withdrawal so long as the bond remains in place.

At September 30, 2023, Marygold UK had on deposit £329,212 (approximately US$401,622) securing a deferred purchase price payment due on December 31, 2023 to the seller of Tiger. At June 30, 2023 the amount on deposit was £327,694 (approximately US$413,560 translated as of June 30, 2023). The cash deposit is restricted by covenant from access or withdrawal prior to payment of the remaining deferred purchase price.

Long Term Assets

Other long-term assets totaling $552,660 at September 30, 2023 and June 30, 2023, were attributed to USCF Investments and Original Sprout and consisted of:

(i)	$500,000 as of September 30, 2023 and June 30, 2023 representing 10% equity investment in a registered investment adviser accounted for on a cost basis, minus impairment, which we believe approximates fair value, given the lack of observable price changes in orderly transactions. There was no impairment recorded for the quarter ended September 30, 2023 and year ended June 30, 2023;
(ii)	and $52,660 as of September 30, 2023 and June 30, 2023 representing deposits and prepayments of rent.