ETSY INC, 10-K filed on 2/22/2024
Annual Report
v3.24.0.1
Cover Page - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2023
Feb. 16, 2024
Jun. 30, 2023
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2023    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-36911    
Entity Registrant Name ETSY, INC.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 20-4898921    
Entity Address, Address Line One 117 Adams Street    
Entity Address, City or Town Brooklyn,    
Entity Address, State or Province NY    
Entity Address, Postal Zip Code 11201    
City Area Code 718    
Local Phone Number 880-3660    
Common Stock, $0.001 par value per share Common Stock, $0.001 par value per share    
Trading Symbol ETSY    
Security Exchange Name NASDAQ    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 10,400
Entity Common Stock, Shares Outstanding (in shares)   118,492,441  
Documents Incorporated by Reference
Portions of the registrant’s Proxy Statement for its 2024 Annual Meeting of Stockholders, to be filed with the Securities and Exchange Commission no later than 120 days after December 31, 2023, are incorporated by reference in Part III of this Annual Report.
    
Entity Central Index Key 0001370637    
Document Fiscal Year Focus 2023    
Document Fiscal Period Focus FY    
Amendment Flag false    
v3.24.0.1
Audit Information
 12 Months Ended
Dec. 31, 2023
Audit Information [Abstract]  
Auditor Firm ID 238
Auditor Name PricewaterhouseCoopers LLP
Auditor Location New York, New York
v3.24.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Current assets:    
Cash and cash equivalents $ 914,323 $ 921,278
Short-term investments 236,118 250,413
Accounts receivable, net 24,734 27,888
Prepaid and other current assets 129,884 80,203
Funds receivable and seller accounts 265,387 233,961
Total current assets 1,570,446 1,513,743
Restricted cash 0 5,341
Property and equipment, net 249,794 249,744
Goodwill 138,377 137,724
Intangible assets, net 457,140 535,406
Deferred tax assets 137,776 121,506
Long-term investments 86,676 29,137
Other assets 45,191 42,360
Total assets 2,685,400 2,634,961
Current liabilities:    
Accounts payable 29,920 28,757
Accrued expenses 353,553 331,234
Finance lease obligations—current 6,079 4,731
Funds payable and amounts due to sellers 265,387 233,961
Deferred revenue 14,635 14,008
Other current liabilities 41,207 19,064
Total current liabilities 710,781 631,755
Finance lease obligations—net of current portion 99,620 105,699
Deferred tax liabilities 13,192 44,735
Long-term debt, net 2,283,817 2,279,640
Other liabilities 121,705 120,406
Total liabilities 3,229,115 3,182,235
Commitments and contingencies (Note 14)
Stockholders' deficit:    
Common stock ($0.001 par value, 1,400,000,000 shares authorized as of December 31, 2023 and 2022; 119,068,884 and 125,054,278 shares issued and outstanding as of December 31, 2023 and 2022, respectively) 119 125
Preferred stock ($0.001 par value, 25,000,000 shares authorized as of December 31, 2023 and 2022) 0 0
Additional paid-in capital 1,081,026 815,085
Accumulated deficit (1,357,390) (1,048,267)
Accumulated other comprehensive loss (267,470) (314,217)
Total stockholders' deficit (543,715) (547,274)
Total liabilities and stockholders’ deficit $ 2,685,400 $ 2,634,961
v3.24.0.1
Consolidated Balance Sheets (Parenthetical) - $ / shares
Dec. 31, 2023
Dec. 31, 2022
Statement of Financial Position [Abstract]    
Common stock, par value (in dollars per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 1,400,000,000 1,400,000,000
Common stock, shares issued (in shares) 119,068,884 125,054,278
Common stock, shares outstanding (in shares) 119,068,884 125,054,278
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 25,000,000 25,000,000
v3.24.0.1
Consolidated Statements of Operations - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Statement [Abstract]      
Revenue $ 2,748,377 $ 2,566,111 $ 2,329,114
Cost of revenue 828,675 744,592 654,512
Gross profit 1,919,702 1,821,519 1,674,602
Operating expenses:      
Marketing 759,196 710,399 654,804
Product development 469,332 412,398 271,535
General and administrative 343,242 312,260 282,531
Asset impairment charges 68,091 1,045,022 0
Total operating expenses 1,639,861 2,480,079 1,208,870
Income (loss) from operations 279,841 (658,560) 465,732
Other income (expense):      
Interest expense (14,042) (14,168) (9,885)
Interest and other income 35,999 10,956 2,137
Foreign exchange (loss) gain (6,348) (206) 13,670
Loss on sale of business (2,630) 0 0
Total other income (expense) 12,979 (3,418) 5,922
Income (loss) before income taxes 292,820 (661,978) 471,654
Benefit (provision) for income taxes 14,748 (32,310) 21,853
Net income (loss) $ 307,568 $ (694,288) $ 493,507
Net income (loss) per share attributable to common stockholders:      
Basic (in dollars per share) $ 2.51 $ (5.48) $ 3.88
Diluted (in dollars per share) $ 2.24 $ (5.48) $ 3.40
Weighted average common shares outstanding:      
Basic (in shares) 122,503,366 126,778,626 127,224,974
Diluted (in shares) 140,145,406 126,778,626 146,683,324
v3.24.0.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Comprehensive Income [Abstract]      
Net income (loss) $ 307,568 $ (694,288) $ 493,507
Other comprehensive income (loss):      
Cumulative translation adjustment 44,977 (237,784) (80,203)
Unrealized gains (losses) on investments, net of tax expense (benefit) of $574, $(448), and $(240), respectively 1,770 (1,419) (762)
Total other comprehensive income (loss) 46,747 (239,203) (80,965)
Comprehensive income (loss) $ 354,315 $ (933,491) $ 412,542
v3.24.0.1
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($)
$ in Thousands
 3 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Statement of Comprehensive Income [Abstract]      
Unrealized holding gains (losses) arising during period, tax $ 574 $ (448) $ (240)
v3.24.0.1
Consolidated Statements of Changes in Stockholders’ Equity (Deficit) - USD ($)
$ in Thousands
Total
Cumulative Effect, Period of Adoption, Adjustment
Common Stock
Additional Paid-in Capital
Additional Paid-in Capital
Cumulative Effect, Period of Adoption, Adjustment
(Accumulated Deficit) Retained Earnings
(Accumulated Deficit) Retained Earnings
Cumulative Effect, Period of Adoption, Adjustment
Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2020     125,835,931          
Beginning balance at Dec. 31, 2020 $ 742,424 $ (200,910) $ 126 $ 883,166 $ (228,738) $ (146,819) $ 27,828 $ 5,951
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Stock-based compensation $ 139,280     139,280        
Exercise of vested options (in shares) 994,456   994,456          
Exercise of vested options $ 22,706   $ 1 22,705        
Purchase of capped calls, net of taxes (64,673)     (64,673)        
Settlement of convertible senior notes, net of taxes (in shares)     985,522          
Settlement of convertible senior notes, net of taxes (423)   $ 1 (424)        
Vesting of restricted stock units, net of shares withheld (in shares)     818,442          
Vesting of restricted stock units, net of shares withheld $ (119,553)   $ 1 (119,554)        
Stock repurchase (in shares) (554,718)   (1,612,233)          
Stock repurchase $ (302,774)   $ (2)     (302,772)    
Other comprehensive income (loss) (80,965)             (80,965)
Net income (loss) 493,507         493,507    
Ending balance (in shares) at Dec. 31, 2021     127,022,118          
Ending balance at Dec. 31, 2021 628,619   $ 127 631,762   71,744   (75,014)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Stock-based compensation (in shares) [1]     191,493          
Stock-based compensation [1] $ 248,114     248,114        
Exercise of vested options (in shares) 816,620   816,620          
Exercise of vested options $ 15,024   $ 1 15,023        
Settlement of convertible senior notes, net of taxes (in shares)     358          
Vesting of restricted stock units, net of shares withheld (in shares)     981,844          
Vesting of restricted stock units, net of shares withheld $ (79,813)   $ 1 (79,814)        
Stock repurchase (in shares) (3,958,155)   (3,958,155)          
Stock repurchase $ (425,727)   $ (4)     (425,723)    
Other comprehensive income (loss) (239,203)             (239,203)
Net income (loss) $ (694,288)         (694,288)    
Ending balance (in shares) at Dec. 31, 2022 125,054,278   125,054,278          
Ending balance at Dec. 31, 2022 $ (547,274)   $ 125 815,085   (1,048,267)   (314,217)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Stock-based compensation (in shares) [1]     45,680          
Stock-based compensation [1] $ 300,687     300,687        
Exercise of vested options (in shares) 623,161   623,161          
Exercise of vested options $ 14,228   $ 1 14,227        
Settlement of convertible senior notes, net of taxes (in shares)     278          
Settlement of convertible senior notes, net of taxes (1)     (1)        
Vesting of restricted stock units, net of shares withheld (in shares)     1,419,337          
Vesting of restricted stock units, net of shares withheld (83,195)   $ 1 (83,196)        
Settlement of capped call (in shares)     (1,194,006)          
Settlement of capped call $ 0   $ (1) 34,224   (34,223)    
Stock repurchase (in shares) (6,879,844)   (6,879,844)          
Stock repurchase $ (582,475)   $ (7)     (582,468)    
Other comprehensive income (loss) 46,747             46,747
Net income (loss) $ 307,568         307,568    
Ending balance (in shares) at Dec. 31, 2023 119,068,884   119,068,884          
Ending balance at Dec. 31, 2023 $ (543,715)   $ 119 $ 1,081,026   $ (1,357,390)   $ (267,470)
[1] Includes the partial payment of Depop deferred consideration. See “Note 16—Stock-based Compensation” for additional information.
v3.24.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Cash flows from operating activities        
Net income (loss) $ 307,568 $ (694,288) $ 493,507  
Adjustments to reconcile net income (loss) to net cash provided by operating activities:        
Stock-based compensation expense 284,558 230,888 139,910  
Depreciation and amortization expense 91,323 96,702 74,267  
Provision for expected credit losses 19,634 12,464 16,031  
Foreign exchange loss (gain) 7,400 1,238 (14,071)  
Asset impairment charges 68,091 1,045,022 0  
Deferred benefit for income taxes (50,086) (55,303) (88,952)  
Loss on sale of business 2,630 0 0  
Other non-cash (income) expense, net (1,901) 6,423 6,976  
Changes in operating assets and liabilities, net of sale of business and acquisitions:        
Accounts receivable (16,066) (14,056) (19,256)  
Funds receivable and seller accounts (29,328) (20,570) (83,941)  
Prepaid expenses and other current assets (47,490) 23,840 (44,186)  
Other assets (2,409) 7,390 (25,159)  
Accounts payable 2,582 532 (14,169)  
Accrued and other current liabilities 34,439 6,439 84,789  
Funds payable and amounts due to sellers 29,328 20,570 83,941  
Deferred revenue 457 1,905 1,441  
Other liabilities 4,783 14,416 40,423  
Net cash provided by operating activities 705,513 683,612 651,551  
Cash flows from investing activities        
Acquisition of businesses, net of cash acquired 0 0 (1,699,974)  
Cash paid for intangible assets (12) (6,456) (1,937)  
Purchases of property and equipment (12,938) (10,237) (11,248)  
Development of internal-use software (26,958) (20,506) (16,922)  
Purchases of investments (342,850) (270,345) (418,518)  
Sales and maturities of investments 309,451 277,520 590,630  
Net cash used in investing activities (73,307) (30,024) (1,557,969)  
Cash flows from financing activities        
Payment of tax obligations on vested equity awards (83,441) (79,163) (118,167)  
Repurchase of stock (576,968) (425,727) (302,774)  
Proceeds from exercise of stock options 14,228 15,024 22,706  
Proceeds from issuance of convertible senior notes 0 0 1,000,000  
Payment of debt issuance costs (2,215) (25) (13,300)  
Purchase of capped calls 0 0 (85,000)  
Settlement of convertible senior notes (90) (44) (43,900)  
Payments on finance lease obligations (6,278) (6,307) (8,864)  
Other financing, net (1,769) (10,242) 2,048  
Net cash (used in) provided by financing activities (656,533) (506,484) 452,749  
Effect of exchange rate changes on cash 12,031 (6,022) (10,234)  
Net (decrease) increase in cash, cash equivalents, and restricted cash (12,296) 141,082 (463,903)  
Cash, cash equivalents, and restricted cash at beginning of period 926,619 785,537 1,249,440  
Cash, cash equivalents, and restricted cash at end of period 914,323 926,619 785,537 $ 1,249,440
Supplemental cash flow disclosures:        
Cash paid for interest 9,315 9,534 6,054  
Cash paid for income taxes, net of refunds 42,676 41,679 94,160  
Supplemental non-cash disclosures:        
Stock-based compensation capitalized in development of capitalized software and asset additions in exchange for liabilities 19,437 9,799 7,297  
Lease assets obtained in exchange for new lease liabilities 7,751 1,727 68,023  
Excise tax payable 5,507 0 0  
Deferred consideration 4,611 [1] 17,197 0  
Replacement share-based awards issued in conjunction with acquisitions 0 0 5,686  
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract]        
Cash and cash equivalents 914,323 921,278 780,196 1,244,099
Restricted cash 0 5,341 5,341 5,341
Total cash and cash equivalents, and restricted cash $ 914,323 $ 926,619 $ 785,537 $ 1,249,440
[1]
(1) See “Note 16—Stock-based Compensation” for more information on the settlement of deferred consideration.
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation and Summary of Significant Accounting Policies
Note 1—Basis of Presentation and Summary of Significant Accounting Policies
Description of Business
Etsy operates two-sided online marketplaces that connect millions of passionate and creative buyers and sellers around the world. These marketplaces - which collectively create a “House of Brands” - share the Company’s mission, common levers for growth, similar business models, and a strong commitment to use business and technology to strengthen communities and empower people. The Company’s primary marketplace, Etsy.com, is the global destination for unique and creative goods made by independent sellers. The Company generates revenue primarily from marketplace activities, including transaction (inclusive of offsite advertising), payments processing, and listing fees, as well as from optional seller services, which include on-site advertising and shipping labels.
Basis of Consolidation
The consolidated financial statements include the accounts of Etsy and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. On July 12, 2021, Etsy acquired all of the issued share capital of Depop Limited (“Depop”) pursuant to a share purchase, and the financial results of Depop have been included in Etsy’s consolidated financial statements from the date of acquisition. On July 2, 2021, Etsy acquired all the outstanding shares of Elo7 Serviços de Informática S.A. (“Elo7”) by means of a merger, and on August 10, 2023, Etsy closed on the sale of the parent holding company of Elo7 to Enjoei S.A., a corporation in Brazil. The financial results of Elo7 have been included in Etsy’s consolidated financial statements from the date of acquisition until August 10, 2023. See “Note 5—Business Combinations” and “Note 6—Sale of Business” for more information.
Reclassifications
Certain items in the prior years’ Consolidated Financial Statements have been reclassified to conform to the current year presentation reflected in the Consolidated Financial Statements.
Use of Estimates
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires the Company to make estimates and judgments that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Actual results could differ from these estimates and judgments. The accounting estimates that require management’s most subjective judgments include: stock-based compensation; income taxes; business combinations; valuation of goodwill; and leases. As of December 31, 2023, there continues to be significant global macroeconomic and geopolitical uncertainty which may impact the Company’s business, results of operations, and financial condition. As a result, many of the Company’s estimates and judgments require increased judgment and carry a higher degree of variability and volatility. As additional information becomes available, the Company’s estimates may change materially in future periods.
Revenue Recognition
The Company’s revenue is diversified; generated from a mix of marketplace activities and other optional services the Company provides to sellers to help them generate more sales and scale their businesses. Revenues are recognized as the Company transfers control of promised goods or services to sellers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company evaluates whether it is appropriate to recognize revenue on a gross or net basis based upon its evaluation of whether the Company obtains control of the specified goods or services by considering if it is primarily responsible for fulfillment of the promise, has inventory risk, and has the latitude in establishing pricing and selecting suppliers, among other factors. Based on its evaluation of these factors, revenue is recorded either gross or net of costs associated with the transaction. The Company’s revenue is recognized on a gross basis, with the primary exception being shipping label revenue, which is recorded on a net basis. Sales and usage-based taxes are excluded from revenue.
Marketplace revenue: As members of the Etsy.com marketplace, Etsy sellers receive the benefit of marketplace activities, including listing items for sale, completing sales transactions, and payments processing, which represents a single stand-ready performance obligation. Etsy marketplace sellers pay a fixed listing fee of $0.20 for each item listed on Etsy.com, and the listing fee is recognized ratably over a four-month listing period, unless the item is sold or the seller re-lists it, at which time any remaining listing fee is recognized. Listing fees are nonrefundable.
Variable fees include transaction fees and payments processing fees. Etsy marketplace sellers pay a 6.5% transaction fee, which was increased from 5% effective April 11, 2022, for each completed transaction, inclusive of shipping fees charged. The Etsy marketplace charges sellers for Offsite Ads, whereby sellers pay a transaction fee of 12% or 15% of the value of a sale based on the seller’s volume of sales, if such sale is generated from an advertisement placed by Etsy on third-party internet platforms. The corresponding expense is recorded in marketing. Etsy marketplace sellers pay Etsy Payments processing fees, which typically vary between 3.0% and 4.5% of an item’s total sale price, including shipping, plus a flat fee per order that depends on the country in which a seller’s bank account is located, plus an additional transaction fee for foreign currency payments. The transaction fee, Offsite Ads transaction fee, and Etsy Payments processing fees are recognized when the corresponding transaction is consummated, and are recorded net of refunds.
Reverb and Depop marketplace revenue is comprised of seller transaction fees and payments processing fees, which are recognized when the transaction is consummated, and are recorded net of refunds. Reverb and Depop sellers pay a 5% and 10% transaction fee, respectively, for each completed transaction, inclusive of shipping fees charged.
Services revenue: Services revenue is derived from optional services offered to Etsy marketplace sellers, which primarily include on-site advertising and shipping labels. Each service represents an individual obligation that the Company must perform when a seller chooses to use the service.
On-site advertising services consist of cost-per-click fees an Etsy marketplace seller pays for prominent placement of her listings. These fees are nonrefundable and are charged to a seller’s Etsy bill when the listing is clicked, at which time revenue is recognized.
Revenue from shipping labels consists of fees an Etsy marketplace seller pays the Company when they purchase shipping labels through the platform, net of the cost the Company incurs in purchasing those shipping labels. The Company provides its sellers access to purchase shipping labels at discounted pricing due to the volume of purchases through its platform. The Company recognizes shipping label revenue when an Etsy marketplace seller purchases a shipping label. The Company recognizes shipping label revenue on a net basis as it is an agent in this arrangement and does not take control of shipping labels prior to transferring the labels to the Etsy marketplace seller. Etsy shipping label revenue is recorded net of refunds.
The Reverb and Depop marketplaces offer on-site advertising services (Depop as of the end of the third quarter of 2022), and shipping labels services. Each service represents an individual obligation that the Company must perform when a seller chooses to use the service. Shipping label revenue is recorded net of refunds.
Contract balances: The Company records deferred revenue when cash payments are received or due in advance of the completion of the four-month listing period on Etsy.com, which represents the value of the Company’s unsatisfied performance obligations, unless the item is sold or the seller re-lists it, at which time any remaining listing fee is recognized. The amount of revenue recognized in the year ended December 31, 2023 that was included in the deferred balance at January 1, 2023 was $14.0 million.
Cost of Revenue
Cost of revenue primarily consists of the cost of interchange and other fees for payments processing services, and expenses associated with the operation and maintenance of the Company’s platforms, including hosting and bandwidth costs. Cost of revenue also includes chargebacks to support payments revenue and costs of refunds made to buyers that the Company is either not able to collect from sellers or are otherwise covered by us, which the Company collectively refers to as cost of refunds, and seller verification fees. Additionally, cost of revenue includes certain employee compensation-related expenses, depreciation and amortization, and third-party customer support services.
Marketing
Marketing expenses primarily consist of direct marketing expenses, which largely includes digital marketing and television ad and digital video expenses. Marketing expenses also include employee compensation-related expenses to support the Company’s marketing initiatives and amortization expense related to acquired customer relationship and trademark intangible assets. Advertising expenses are recognized as incurred, with the exception of certain production expenses related to television and display advertising which are deferred until the first time an advertisement airs or is published. If such advertising is not expected to occur, costs are expensed immediately. Advertising expenses related to direct marketing, included in marketing expenses on the Consolidated Statements of Operations, were $624.3 million, $581.1 million, and $559.3 million in the years ended December 31, 2023, 2022, and 2021, respectively.
Product Development
Product development expenses consist primarily of employee compensation-related expenses for engineering, product management, product design, and product research activities, net of costs capitalized to website development and internal-use software. Additional expenses include consulting costs related to the development, quality assurance, and testing of new technology and enhancement of the Company’s existing technology.
Stock-Based Compensation
Service-based stock options and restricted stock units (“RSUs”) are awarded to employees and members of the Company’s Board of Directors and performance-based restricted stock units (“PBRSUs”) are awarded to employees. All such awards are measured at fair value at each grant date.
The PBRSUs include financial performance-based restricted stock units (“Financial PBRSUs”) and total shareholder return performance-based restricted stock units (“TSR PBRSUs”), both of which have performance and service vesting requirements. The Company recognizes forfeitures as they occur.
The Company calculates the fair value of stock options on the date of grant using the Black-Scholes option-pricing model and the expense is recognized over the requisite service period. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. The Company calculates expected volatility based on the historical volatility of Etsy’s stock price observations over a period equivalent to the expected term of the stock option grants. The Company estimates its expected term using historical option exercise behavior and expected post-vest cancellation data, averaged with an assumption that recently granted options will be exercised ratably from vesting to the expiration of the stock option. The fair value of RSUs and Financial PBRSUs is determined based on the closing price of the Company’s common stock on Nasdaq on the grant date. Additionally, the fair value of the Financial PBRSUs takes into consideration a vesting probability assessment as of each reporting date. The fair value of the TSR PBRSUs is determined using a Monte-Carlo simulation model on the grant date.
The requisite service period for both employee stock options and RSUs is generally four years from the grant date, and the requisite service period for board member stock options is one year from the grant date. For PBRSUs, the Company recognizes stock-based compensation expenses on a straight-line basis over the longer of the derived, explicit, or implicit service period. As of interim and annual reporting periods, the Financial PBRSUs stock-based compensation expense is adjusted based on expected achievement of performance targets, while TSR PBRSUs stock-based compensation expense is not adjusted.
Foreign Currency
The Company has determined that the functional currency for each of its foreign operations is the currency of the primary cash flow of the operations, which is generally the local currency in the jurisdiction in which the operation is located. All assets and liabilities are translated into U.S. dollars using exchange rates in effect at the balance sheet date. Revenue and expenses are translated using average exchange rates during the period. Foreign currency translation adjustments are reflected in stockholders’ equity (deficit) as a component of other comprehensive income (loss). Transaction gains and losses including intercompany balances denominated in a currency other than the functional currency of the entity involved are included in foreign exchange gain (loss) within other income (expense) in the Consolidated Statements of Operations.
Income Taxes
The income tax benefit (provision) is based on income before income taxes and is accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to settle. The Company recognizes future tax benefits, such as net operating losses and tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The effect on deferred tax assets and liabilities of a change in tax rates is recognized as income or expense in the period that includes the enactment date. The Company regularly reviews the recoverability of its deferred tax assets by considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance against deferred tax assets that are deemed not more likely than not to be realizable.
The Company records tax expense related to Global Intangible Low Taxed Income (“GILTI”) as a current period expense when incurred using the period cost method.
The Company accounts for uncertainty in income taxes using a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by the taxing authorities. The amount recognized is measured as the largest amount of benefit that has a greater than 50% likelihood of being realized upon ultimate audit settlement.
The Company recognizes interest and penalties, if any, associated with income tax matters as part of the income tax provision and includes accrued interest and penalties with the related income tax liability in the Consolidated Balance Sheets.
Net Income (Loss) Per Share
Basic net income (loss) per share attributable to common stockholders is computed by dividing the net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period.
Diluted net income (loss) per share is computed by dividing net income (loss) adjusted on an if-converted basis for the period by the weighted-average number of shares of common stock and potentially dilutive common stock outstanding during the period. Potentially dilutive shares, which are based on the weighted-average shares of common stock underlying outstanding stock-based compensation awards and convertible senior notes using the treasury stock method and the if-converted method, respectively, are included when calculating net income (loss) per share of common stock attributable to common stockholders when their effect is dilutive.
The calculation of diluted net income per share excludes all anti-dilutive shares of common stock.
Segment Data
The Company identifies operating segments as components of an entity for which discrete financial information is available and is regularly reviewed by the Chief Operating Decision Maker (“CODM”) in making decisions regarding resource allocation and performance assessment. The Company’s CODM is its Chief Executive Officer. Following the sale of Elo7 in the third quarter of 2023, the Company has determined it has three operating segments, Etsy, Reverb, and Depop, which qualify for aggregation as one reportable segment.
Cash and Cash Equivalents, and Short- and Long-term Investments
The Company considers all investments with an original maturity of three months or less at time of purchase to be cash equivalents. Cash restricted by third-parties is not considered cash and cash equivalents. Short-term investments with original maturities of greater than three months but less than one year, are classified as available-for-sale and are reported at fair value using the specific identification method. Long-term investments, other than investments made through the Company’s Impact Investment Fund, with original maturities of greater than twelve months but less than 37 months, are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses are primarily excluded from earnings and reported as a component of other comprehensive income (loss), net of related tax (expense) benefit.
Restricted Cash
The Company classifies any cash balances that are legally restricted as to withdrawal or usage as restricted cash on the Consolidated Balance Sheets. In connection with the Company’s noncancellable Brooklyn lease agreement, which expires in 2039, the Company established a $5.3 million collateral account, which is reflected in the restricted cash balance as of December 31, 2022. In 2023, this collateral account was closed following the issuance of a $5.3 million standby letter of credit by one of the lenders under the Amended and Restated Credit Agreement (the “2023 Credit Agreement”) which can be drawn down from amounts available under the 2023 Credit Agreement.
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, short- and long-term investments, and funds receivable and seller accounts. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, to the extent eligible, such amounts may exceed federally insured limits. The Company believes that minimal credit risk exists with respect to these investments due to the credit ratings of the financial institutions that hold its short- and long-term investments. In addition, funds receivable settle relatively quickly, and the Company’s historical experience of losses has not been significant.
Fair Value of Financial Instruments
Management believes that the fair value of financial instruments, consisting of cash and cash equivalents, short- and long-term investments (excluding investments made through the Company’s Impact Investment Fund), accounts receivable, funds receivable and seller accounts, accounts payable, and funds payable and amounts due to sellers approximates carrying value due to the immediate or short-term maturity associated with these instruments or the Company’s ability to liquidate these instruments at short notice with minimal penalties.
The 0.25% Convertible Senior Notes due 2028 (the “2021 Notes”), the 0.125% Convertible Senior Notes due 2027 (the “2020 Notes”), and the 0.125% Convertible Senior Notes due 2026 (the “2019 Notes” and together with the 2021 Notes and the 2020 Notes, the “Notes”) are not measured at fair value in the Consolidated Balance Sheets, but the Company estimates the fair value of the Notes through inputs that are observable in the market or that could be derived from observable market data, corroborated with quoted market prices of similar instruments. See Note 9—Fair Value Measurements for additional information.
Accounts Receivable and Provision for Expected Credit Losses
The Company’s trade accounts receivable are recorded at amounts billed to sellers and are presented on the Consolidated Balance Sheets net of the provision for expected credit losses, which consists of bad debt expense. The provision is determined by a number of factors, including age of the receivable, current economic conditions, historical losses, and management’s assessment of the financial condition of sellers. Receivables are written off once they are deemed uncollectible. Estimates of uncollectible accounts receivable are recorded to general and administrative expense.
Payment terms: On the first day of every month, Etsy sellers receive a statement outlining the previous month’s charges. Payment is due within 15 days of the date of the monthly statement. The payment terms for Reverb and Depop are also short-term in nature. For Etsy sellers using Etsy Payments, all charges are deducted from the funds credited to the seller’s shop payment account prior to settlement of those funds to the seller’s bank account.
The following table provides a rollforward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected (in thousands):
 Year Ended  
December 31,
 202320222021
Balance as of the beginning of period$8,303 $7,730 $9,757 
Provision for expected credit losses19,634 12,464 16,031 
Amounts written off, net of recoveries(17,788)(11,891)(18,058)
Balance as of the end of period$10,149 $8,303 $7,730 
Funds Receivable and Seller Accounts and Funds Payable and Amounts due to Sellers
The Company records funds receivable and seller accounts and funds payable and amounts due to sellers as current assets and liabilities, respectively, on the Consolidated Balance Sheets. Funds receivable and seller accounts represent amounts received or expected to be received from buyers via third-party credit card processors, which flow through a bank account for payment to sellers. The amounts recorded to funds receivable and seller accounts is the same amount recorded to the funds payable and amounts due to sellers, the latter of which represents the total amount due to sellers, given the intent to use these funds to settle funds payable to sellers. For the Depop marketplace only, the amounts received from buyers which is owed to the sellers is paid to the sellers at point of sale, and therefore no funds receivable and seller accounts and no funds payable and amounts due to sellers are recorded related to the Depop marketplace.
Property and Equipment
Property and equipment, consisting principally of capitalized website development and internal-use software, building, leasehold improvements, and computer equipment, are recorded at cost. Depreciation and amortization begin at the time the asset is placed into service and is recognized using the straight-line method in amounts sufficient to relate the cost of depreciable and amortizable assets to the Consolidated Statements of Operations over their estimated useful lives. Repairs and maintenance are charged to the Consolidated Statements of Operations as incurred. Upon sale or retirement of assets, the cost and related accumulated depreciation or amortization are removed from the Consolidated Balance Sheet and the resulting gain or loss is reflected in the Consolidated Statement of Operations.
Website Development and Internal-use Software Costs
Costs incurred to develop the Company’s website and software for internal-use are capitalized and amortized over the estimated useful life of the software, generally three to five years. Capitalization of costs to develop software begin when preliminary development efforts are successfully completed, management has authorized and committed project funding, and it is probable that the project will be completed and the software will be used as intended. Costs related to the design or maintenance of website development and internal-use software are expensed as incurred. The Company periodically reviews capitalized website development and internal-use software costs to determine whether the projects will be completed, placed in service, removed from service, or replaced by other internally-developed or third-party software. If an asset is not expected to provide any future use, the asset is retired and any unamortized cost is expensed.
Capitalized website development and internal-use software costs are included in property and equipment, net within the Consolidated Balance Sheets.
Business Combinations
The Company accounts for business combinations using the acquisition method of accounting. If the assets acquired are not a business, the Company accounts for the transaction as an asset acquisition. Under both methods, the purchase price is allocated to the assets acquired and liabilities assumed using the fair values determined by management as of the acquisition date. The results of businesses acquired in a business combination are included in the Company’s consolidated financial statements from the date of acquisition.
Acquisition-related expenses represent expenses incurred by the Company to effect a business combination, including expenses such as finder’s fees and advisory, legal, accounting, valuation, and other professional or consulting fees, and are not included as a component of consideration transferred, but are accounted for as an expense in the period in which the costs are incurred or the services are rendered.
Goodwill
Goodwill represents the excess of the aggregate fair value of the consideration transferred in a business combination over the fair value of the assets acquired, net of liabilities assumed. Goodwill is allocated to the reporting unit in which the business that created the goodwill resides. A reporting unit is an operating segment for which discrete financial information is prepared and regularly reviewed by segment management. Following the sale of Elo7 in the third quarter of 2023, management has determined that the Company has three operating segments, Etsy, Reverb, and Depop, and each operating segment is determined to be a reporting unit.
The Company performs its annual goodwill impairment test in the fourth quarter, or more frequently if an interim triggering event occurs that may indicate potential impairment. The Company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If, after assessing the totality of events or circumstances, the Company determines it is not more likely than not that the fair value of the reporting unit is less than its carrying amount, then additional impairment testing is not required. If the Company determines that it is more likely than not that the fair value of the reporting unit is less than its carrying amount, then the Company is required to perform a quantitative assessment for impairment. Under the quantitative goodwill impairment test, if a reporting unit’s carrying amount exceeds its fair value, an impairment loss is recognized in an amount equal to the excess, not to exceed the total amount of goodwill allocated to that reporting unit.
See “Note 7—Goodwill and Intangible Assets” for further information.
Intangible Assets
Finite intangible assets are amortized using the straight-line method over the estimated useful life of the asset.
Leases
The Company’s lease arrangements generally include real estate and, to a lesser extent, computer equipment assets. At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present. At lease commencement, the Company evaluates whether the arrangement is a finance or operating lease, and accounts for it accordingly. Operating leases are included in other assets, other current liabilities, and other liabilities on the Company’s Consolidated Balance Sheets. Finance leases are included in property and equipment, net, finance lease obligations, current, and finance lease obligations, net of current portion on the Company’s Consolidated Balance Sheets. 
Leases with a term greater than one year are recognized on the Consolidated Balance Sheets as right-of-use (“ROU”) assets, lease obligations, and, if applicable, long-term lease obligations in the financial statement line items cited above. The Company has elected not to recognize leases with terms of one year or less on the Consolidated Balance Sheets. Lease obligations and their corresponding ROU assets are recorded based on the present value of lease payments over the expected lease term. As the interest rate implicit in lease contracts is typically not readily determinable, the Company utilizes the appropriate incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment. Certain adjustments to the ROU asset may be required for items such as initial direct costs paid or incentives received. The lease term may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option.
The components of a lease are split into three categories: lease components, including land, building, or other similar components; non-lease components, including common area maintenance, maintenance, consumables, or other similar components; and non-components, including property taxes, insurance, or other similar components. However, the Company has elected to combine lease and non-lease components as a single component. The lease expense is recognized over the expected term on a straight-line basis.
Impairment of Long-Lived Assets
The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Recoverability of assets held and used is measured by comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated from the use of the asset and its eventual disposition. If such assets are considered to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount exceeds the fair value of the impaired assets. Assets to be disposed of are reported at the lower of their carrying amount or fair value less cost to sell. During the year ended December 31, 2023, the Company impaired property and equipment and finite-lived intangible assets of its Elo7 reporting unit in full. The Company did not recognize any long-lived asset impairment charges in the years ended December 31, 2022 and 2021. See “Note 7—Goodwill and Intangible Assets” and “Note 10—Property and Equipment” for further information.
Contingencies
The Company accrues for loss contingencies when losses become probable and are reasonably estimable. If the reasonable estimate of the loss is a range and no amount within the range is a better estimate, the minimum amount of the range is recorded as a liability. The Company does not accrue for contingent losses that, in its judgment, are considered to be reasonably possible, but not probable; however, it discloses the range of such reasonably possible losses.
Recently Issued Accounting Pronouncements
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires that a public entity disclose, on an annual and interim basis, significant segment expenses that are regularly provided to the CODM and included within each reported measure of segment profit or loss. Additionally, it requires that a public entity (1) disclose an amount for “other segment items” by reportable segment, (2) provide all annual disclosures about a reportable segment’s profit or loss and assets currently required by Topic 280 in interim periods, and (3) requires that a public entity that has a single reportable segment provide all the disclosures required by the amendments in this proposed ASU and all existing segment disclosures in Topic 280. The new guidance is effective for annual periods beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024. The amendments in this proposed ASU should be applied retrospectively to all prior periods presented in the financial statements. Early adoption is permitted. The Company is currently evaluating the impact that this new guidance will have on its disclosures.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which enhances the transparency and decision usefulness of income tax disclosures. The ASU requires that public business entities on
an annual basis (1) disclose specific categories in the effective tax rate reconciliation and (2) provide additional information for reconciling items that meet or exceed a quantitative threshold. Additionally, it requires all entities disclose the following information about income taxes paid on an annual basis: (1) the year-to-date amounts of income taxes paid disaggregated by federal (national), state, and foreign taxes and (2) the amount of income taxes paid disaggregated by individual jurisdictions in which income taxes paid is equal to or greater than 5 percent of total income taxes paid. The amendments are effective for annual periods beginning after December 15, 2024. The amendments in this proposed ASU should be applied on a prospective basis, although retrospective application to all periods presented is permitted. Early adoption is permitted. The Company is currently evaluating the impact that this new guidance will have on its disclosures.
v3.24.0.1
Revenue
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Revenue
Note 2—Revenue
The following table summarizes revenue disaggregated by Marketplace revenue and optional Services revenue for the periods presented (in thousands):
Year Ended December 31,
202320222021
Marketplace revenue$1,997,190 $1,910,887 $1,745,824 
Services revenue751,187 655,224 583,290 
Revenue$2,748,377 $2,566,111 $2,329,114 
See “Note 1—Basis of Presentation and Summary of Significant Accounting Policies—Revenue Recognition” for additional information on revenue recognition. See “Note 1—Basis of Presentation and Summary of Significant Accounting Policies—Accounts Receivable and Provision for Expected Credit Losses” for additional information on the Company’s payment terms.
v3.24.0.1
Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes
Note 3—Income Taxes
The following are the domestic and foreign components of the Company’s income (loss) before income taxes (in thousands):
 Year Ended  
December 31,
 202320222021
United States$167,924 $225,685 $274,354 
International124,896 (887,663)197,300 
Income (loss) before income taxes$292,820 $(661,978)$471,654 
The income tax (benefit) provision is comprised of the following (in thousands):
 Year Ended  
December 31,
 202320222021
Current:
U.S. Federal$13,737 $46,700 $23,118 
U.S. State(5,642)16,036 12,754 
International27,243 24,877 31,227 
Total current35,338 87,613 67,099 
Deferred:
U.S. Federal(20,925)(18,753)(53,328)
U.S. State5,176 (7,866)(14,843)
International(34,337)(28,684)(20,781)
Total deferred(50,086)(55,303)(88,952)
Total income tax (benefit) provision$(14,748)$32,310 $(21,853)
For the years ended December 31, 2023, 2022 and 2021, the Company recorded an income tax (benefit) provision of $(14.7) million, $32.3 million, and $(21.9) million or an effective tax rate of (5.0)%, (4.9)%, and (4.6)%, respectively.
A reconciliation of the income tax (benefit) provision at the U.S. federal statutory income tax rate to the Company’s total income tax (benefit) provision is as follows (in thousands):
 Year Ended  
December 31,
 202320222021
Income tax provision (benefit) at the federal statutory rate$61,492 $(139,015)$99,047 
State and local income taxes, net of federal benefit4,329 10,516 11,134 
Foreign income tax rate differential(40,506)(89,903)(26,215)
Stock-based compensation15,167 (12,863)(83,207)
Research and development credit(19,034)(19,603)(23,396)
U.S. tax on foreign earnings, net of foreign income deduction (1)3,070 3,588 (5,155)
Non-deductible acquisition costs749 1,204 5,643 
Non-deductible goodwill impairment— 274,492 — 
Change in valuation allowance10,285 — (108)
Divestiture of Elo7(55,934)— — 
Other5,634 3,894 404 
Total income tax (benefit) provision$(14,748)$32,310 $(21,853)
(1)Previously disclosed as “U.S. tax reform” for the year ended December 31, 2021.

Deferred income taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets (liabilities) are as follows (in thousands):
 As of December 31,
 20232022
Deferred tax assets:
 Net operating loss carryforwards $75,967 $66,410 
 Research and development credit carryforwards 3,242 — 
 Capitalized research expenses100,996 63,901 
 Convertible debt 31,583 40,159 
 Depreciation — 7,051 
 Lease liability 32,034 33,253 
 Stock-based compensation expense 25,690 25,151 
 Accrued bonus 10,616 9,478 
 Excess tax basis in intangible assets 2,424 1,924 
 Other deferred tax assets 16,737 13,443 
 Total deferred tax assets 299,289 260,770 
 Less: valuation allowance 4,154 3,524 
 Total net deferred tax asset 295,135 257,246 
 Deferred tax liabilities:
 Excess book basis in intangible assets (118,378)(147,790)
 Right-of-use asset (30,556)(31,864)
 Depreciation (21,105)— 
 Other deferred tax liabilities (512)(821)
Total deferred tax liabilities(170,551)(180,475)
Net deferred tax assets$124,584 $76,771 
As of December 31, 2023, the Company had the following tax credit and operating loss carryforwards available to offset income tax liability and taxable income, respectively, in future years (in thousands):
December 31, 2023Expiration Period
U.S. Federal credit carryforwards$1,512 2032-2033
U.S. State net operating loss carryforwards57,072 2031-Unlimited
U.S. State credit carryforwards6,547 2026-Unlimited
Non-U.S. net operating loss carryforwards290,854 Unlimited
Utilization of the net operating losses (“NOLs”) is dependent on generating sufficient taxable income from the Company’s operations in each of the respective jurisdictions to which the NOLs relate, while taking into account tax filing methodologies and limitations and/or restrictions on the Company’s ability to use them. A significant component of the Company’s Non-U.S. NOLs were acquired as part of the acquisition of Depop. Certain U.K. tax laws impose limitations on the utilization of these NOLs by any other entity. All NOLs are also subject to review by relevant tax authorities in the jurisdictions to which they relate.
The Company assesses the likelihood of its ability to realize the benefit of its deferred tax assets in each jurisdiction by evaluating all relevant positive and negative evidence at each reporting date. To the extent the Company determines that some or all of its deferred tax assets are not more likely than not to be realized, it establishes a valuation allowance.
The following table summarizes the valuation allowance activity for the periods indicated (in thousands):
 Year Ended  
December 31,
 202320222021
Balance as of the beginning of period$3,524 $1,834 $1,398 
Additions charged to expense10,960 1,796 580 
Deletions credited to expense(124)— (112)
Currency translation and other balance sheet activity(10,206)(106)(32)
Balance as of the end of period$4,154 $3,524 $1,834 

Unrecognized tax benefits
The following table summarizes the unrecognized tax benefit activity for the periods indicated (in thousands):
 As of December 31,
 202320222021
Balance as of the beginning of period$35,158 $28,842 $23,738 
Additions based on tax positions related to the current year10,225 5,206 5,024 
Additions for tax positions of prior years6,278 1,754 122 
Reductions for tax provisions of prior years— (509)— 
Lapse of statute of limitations(3)— — 
Settlements— (107)— 
Currency translation15 (28)(42)
Balance as of the end of period$51,673 $35,158 $28,842 
The amount of unrecognized tax benefits included on the Consolidated Balance Sheets as of December 31, 2023, 2022, and 2021 are $51.7 million, $35.2 million, and $28.8 million, respectively. The total amount of unrecognized tax benefits that, if recognized, would favorably affect the effective tax rate is $49.9 million at December 31, 2023.
The total amount of unrecognized tax benefits relating to the Company’s tax positions is subject to change based on future events including, but not limited to, the settlements of ongoing audits and/or the expiration of applicable statutes of limitations. The outcomes and timing of such events are highly uncertain. However, the Company’s reasonable estimate of the range of gross unrecognized tax benefits, excluding interest and penalties, that could potentially be reduced during the next 12 months is $7.8 million.
The Company is subject to taxation in the United States, New York, and various other states and foreign jurisdictions. As of December 31, 2023, tax year 2014 and later remain open to examination. The Company is under examination by the IRS for calendar year 2014 through 2017. These examinations may result in proposed adjustments to the Company’s income tax liability or tax attributes with respect to years under examination as well as subsequent periods.
The benefit (provision) for income taxes involves a significant amount of management judgment regarding interpretation of relevant facts and laws in the jurisdictions in which the Company operates. Future changes in applicable laws, projected levels of taxable income and tax planning could change the effective tax rate and tax balances recorded by the Company. In addition, tax authorities periodically review income tax returns filed by the Company and can raise issues regarding its filing positions, timing and amount of income and deductions, and the allocation of income among the jurisdictions in which the Company operates. A significant period of time may elapse between the filing of an income tax return and the ultimate resolution of an issue raised by a revenue authority with respect to that return. Any adjustments as a result of any examination may result in additional taxes or penalties against the Company. If the ultimate result of these audits differ from original or adjusted estimates, they could have a material impact on the Company’s tax provision.
Over the last several years, the Organization for Economic Cooperation and Development (“OECD”) has been developing its “two pillar” project to address the tax challenges arising from digitalization. The OECD project, if broadly implemented by participating countries, will result in significant changes to the international taxation system under which our current tax obligations are determined. Pillar Two of the project calls for a minimum tax rate on corporations of 15% and is expected to be implemented by a significant number of countries starting in 2024. The OECD and implementing countries are expected to continue to make further revisions to the rules, however, the Company expects adverse consequences to our tax liabilities based on rules as currently drafted. The Company will continue to monitor developments to determine any potential impact of Pillar Two in the countries in which it operates.
v3.24.0.1
Net Income (Loss) Per Share
 12 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share
Note 4—Net Income (Loss) Per Share
The following table presents the calculation of basic and diluted net income (loss) per share for periods presented (in thousands, except share and per share amounts):
 Year Ended  
December 31,
 202320222021
Numerator:
Net income (loss)$307,568 $(694,288)$493,507 
Add back interest expense, net of tax attributable to assumed conversion of convertible senior notes6,336 — 4,900 
Net income (loss) attributable to common stockholders—diluted$313,904 $(694,288)$498,407 
Denominator:
Weighted average common shares outstanding—basic122,503,366 126,778,626 127,224,974 
Dilutive effect of assumed conversion of options to purchase common stock2,222,294 — 4,149,248 
Dilutive effect of assumed conversion of restricted stock units705,465 — 1,995,336 
Dilutive effect of assumed conversion of convertible senior notes14,714,281 — 13,313,766 
Weighted average common shares outstanding—diluted140,145,406 126,778,626 146,683,324 
Net income (loss) per share attributable to common stockholders—basic$2.51 $(5.48)$3.88 
Net income (loss) per share attributable to common stockholders—diluted$2.24 $(5.48)$3.40 
The following potential shares of common stock were excluded from the calculation of diluted net income (loss) per share attributable to common stockholders because their effect would have been anti-dilutive for the periods presented:
 Year Ended  
December 31,
 202320222021
Stock options174,655 3,127,333 149,683 
Restricted stock units4,719,187 5,081,194 584,033 
Convertible senior notes— 14,715,935 — 
Total anti-dilutive securities4,893,842 22,924,462 733,716 
Since the Company has reported a net loss for the year ended December 31, 2022, diluted net loss per share attributable to common stockholders is the same as basic net loss per share attributable to common stockholders, because dilutive common shares are not assumed to have been issued if their effect is anti-dilutive.
v3.24.0.1
Business Combinations
 12 Months Ended
Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]  
Business Combinations
Note 5—Business Combinations
The Company accounts for business combinations using the acquisition method of accounting. The purchase price is allocated to the assets acquired and liabilities assumed using the fair values determined by management as of the acquisition date. The excess of the purchase price over the estimated fair value of the net assets acquired is recorded as goodwill. The results of businesses acquired in a business combination are included in the Company’s consolidated financial statements from the date of acquisition. The fair value of customer relationships is estimated using a multi-period excess earnings valuation method, the fair value of trademarks is estimated using a relief from royalty valuation method, and the fair value of developed technology is estimated using a replacement cost method.
Depop Acquisition
On July 12, 2021, the Company acquired all of the issued share capital of Depop, an online global peer-to-peer fashion resale marketplace. At the time of acquisition, the Company believed Depop would extend its market opportunity in the high frequency apparel sector, specifically in the fast-growing resale space, and deepen the Company’s reach into the Gen Z consumer. The fair value of consideration transferred of $1.493 billion consisted of: (1) cash consideration paid of $1.489 billion, net of cash acquired and (2) non-cash consideration of $4.8 million representing the portion of the replacement equity awards issued in connection with the acquisition that was associated with services rendered through the date of the acquisition. The portion of the replacement equity awards associated with services rendered post-acquisition is recorded as post-combination expense on a straight-line basis over the remaining vesting period of the awards. Additionally, deferred consideration awards issued to certain Depop executives are also recorded as post-combination expense on a straight-line basis over the mandatory service period associated with the deferred consideration. Neither of these awards was included in the fair value of the consideration transferred. See Note 16—Stock-based Compensation for more information on these awards.
At the time of acquisition, goodwill consisted largely of assembled workforce, expanded market opportunities, and value creation across the Company’s businesses. The resulting goodwill was not deductible for tax purposes.
The Company finalized the valuation of assets acquired and liabilities assumed for the acquisition of Depop as of December 31, 2021.
Depop Purchase Price Allocation
The following table summarizes the allocation of the purchase price (at fair value), including measurement period adjustments, to the assets acquired and liabilities assumed of Depop as of July 12, 2021 (the date of acquisition) (in thousands):
Final Purchase Price Allocation as AdjustedEstimated Useful Life (in years)
Current assets$4,288 
Property and equipment other1,299 
2-5
Developed technology95,764 5
Trademark249,820 20
Customer relationships148,504 13
Goodwill1,118,855 Indefinite
Current liabilities(18,878)
Non-current liabilities (1)(27,957)
Deferred tax liability, net(78,872)
Total purchase price$1,492,823 
(1)Non-current liabilities are primarily related to non-income tax related contingency reserves.
Elo7 Acquisition
On July 2, 2021, the Company acquired all the outstanding shares of Elo7 (including Elo7, Ltd. and related subsidiaries entities), by means of a merger, an e-commerce marketplace in Brazil focused on unique, handmade items. At the time of acquisition, the Company saw significant potential in Brazil's e-commerce sector, which is still in early stages of development and fueled by one of the largest economies in the world. The Company believed having a well-known local brand would help Etsy to better capitalize on this opportunity. The fair value of consideration transferred of $212.1 million consisted of: (1) cash consideration paid of $211.3 million, net of cash acquired, and (2) non-cash consideration of $0.8 million representing the portion of the replacement equity awards issued in connection with the acquisition that was associated with services rendered through the date of the acquisition. The portion of the replacement equity awards associated with services rendered post-acquisition are recorded as post-combination expense on a straight-line basis over the remaining vesting period of the awards, and were therefore not included in the fair value of the consideration transferred. See Note 16—Stock-based Compensation for more information on these awards.
At the time of acquisition, goodwill consisted largely of assembled workforce, expanded market opportunities, and value creation across the Company’s businesses. The resulting goodwill was not deductible for tax purposes.
The Company finalized the valuation of assets acquired and liabilities assumed for the acquisition of Elo7 as of December 31, 2021.
Elo7 Purchase Price Allocation
The following table summarizes the allocation of the purchase price (at fair value), including measurement period adjustments, to the assets acquired and liabilities assumed of Elo7 as of July 2, 2021 (the date of acquisition) (in thousands):
Final Purchase Price Allocation as AdjustedEstimated Useful Life (in years)
Current assets$2,721 
Developed technology12,084 5
Trademark22,187 15
Customer relationships44,374 15
Goodwill157,187 Indefinite
Non-current assets2,412 
Current liabilities(3,406)
Non-current liabilities(2,691)
Deferred tax liability, net(22,727)
Total purchase price$212,141 
Revenue and Earnings
Revenue and net loss were $36.7 million and $59.1 million, respectively, for Depop and Elo7, in the aggregate, from their respective dates of acquisition through December 31, 2021. Acquisition-related expenses are expensed as incurred and were recorded in general and administrative expenses. They were $1.2 million, $2.8 million, and $36.7 million for the years ended December 31, 2023, 2022, and 2021, respectively. The 2021 acquisition-related expenses primarily related to advisory, legal, valuation, and other professional fees.
Unaudited Supplemental Pro Forma Information
The following unaudited pro forma summary presents consolidated information of the Company, including Depop and Elo7, as if the business combinations had occurred on January 1, 2020 (in thousands):
Year Ended December 31,
2021
Revenue$2,373,592 
Net income492,732 
The pro forma financial information includes adjustments that are directly attributable to the business combinations and are factually supportable. The pro forma adjustments include incremental amortization of intangible and developed technology assets, and remove non-recurring transaction costs directly associated with the acquisitions, such as legal and other professional service fees, and the pro forma tax impact for such adjustments. Cost savings or operating synergies expected to result from the acquisitions are not included in the pro forma results. For the year ended December 31, 2021, the pro forma financial information excludes $60.1 million of non-recurring acquisition-related expenses related to the Depop and Elo7 acquisitions. These pro forma results are illustrative only and not indicative of the actual results of operations that would have been achieved nor are they indicative of future results of operations.
Depop and Elo7 Asset Impairment Charges
During the year ended December 31, 2023, the Company impaired property and equipment and finite-lived intangible assets of its Elo7 reporting unit in full. During the year ended December 31, 2022, the Company fully impaired goodwill related to the Depop and Elo7 acquisitions. See “Note 7—Goodwill and Intangible Assets” and “Note 10—Property and Equipment“ for further information.

Sale of Elo7
The Company completed the sale of Elo7 in the third quarter of 2023. Refer to “Note 6—Sale of Business” for further details.
v3.24.0.1
Sale of Business
 12 Months Ended
Dec. 31, 2023
Discontinued Operations and Disposal Groups [Abstract]  
Sale of Business
Note 6—Sale of Business
Due to challenges Etsy faced to effectively scale Elo7 in Brazil over the last two years, particularly given headwinds created by a volatile macroeconomic environment and an increasingly competitive e-commerce market in Brazil, on August 10, 2023, Etsy closed on the sale of the parent holding company of Elo7 to Enjoei S.A., a corporation in Brazil.
The Company recognized a net loss on the sale of Elo7 of $2.6 million, which includes a $7.5 million loss from the reclassification out of accumulated other comprehensive income related to a cumulative translation adjustment. The net loss on the sale of Elo7 was recorded in Loss on sale of business, under Other income (expense) in the Consolidated Statement of Operations for the year ended December 31, 2023.
v3.24.0.1
Goodwill and Intangible Assets
 12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
Note 7—Goodwill and Intangible Assets
The following table summarizes the changes in the carrying amount of goodwill for the periods indicated (in thousands):
Year Ended  
December 31,
20232022
Balance as of the beginning of the period$137,724 $1,371,064 
Impairment— (1,045,022)
Foreign currency translation adjustments653 (188,318)
Balance as of the end of the period$138,377 $137,724 
Following the sale of Elo7 in the third quarter of 2023, management has determined that the Company has three operating segments, Etsy, Reverb, and Depop, and each operating segment is determined to be a reporting unit. As of December 31, 2022 and December 31, 2023, goodwill balances are allocated to Etsy and Reverb, which are the reporting units at which the Company tests goodwill for impairment.
As of the annual impairment testing date in the fourth quarter of 2023, the Company completed a qualitative analysis for the Etsy reporting unit, which indicated no impairment; and a quantitative analysis for the Reverb reporting unit, which concluded that the fair value of the reporting unit was sufficiently in excess of its carrying value. As such, no goodwill impairment was identified as of the annual impairment testing date in 2023.
During the third quarter of 2022, the carrying values of the Depop and Elo7 reporting units were determined to be in excess of their fair values such that non-cash impairment charges were recorded of $897.9 million and $147.1 million, representative of the full value of goodwill allocated to the Depop and Elo7 reporting units, respectively. The impairment charges were the result of continued adverse macroeconomic conditions, including reopening, inflationary pressures on consumer discretionary spending, foreign exchange rate volatility, and ongoing geopolitical events, and related headwinds on business performances; along with executive management changes at Depop and Elo7, all of which resulted in downward revisions to the projected future cash flows negatively impacting the reporting units’ fair values. In addition to these adverse changes to projected cash flows, discount rates as of September 30, 2022 increased as compared to those used in our interim quantitative analysis for Depop and Elo7 as of June 30, 2022. The updates to the discount rates and estimated future cash flows each had a significant adverse impact on the estimated fair values of Depop and Elo7 reporting units compared to our June 30, 2022 analysis, which ultimately resulted in impairments of their goodwill balances in the third quarter of 2022. The Company did not record any non-cash impairment charges to the finite-lived intangible assets or other long-lived assets of Depop and Elo7 for the quarter ended September 30, 2022. No further impairment charges were recorded within our Etsy or Reverb reporting units as of our annual impairment test in the fourth quarter of 2022.
As of the annual impairment testing date in 2021, the Company completed a qualitative analysis for both the Etsy and the Reverb reporting units, which indicated no impairment; and completed a quantitative analysis for both the Depop and Elo7 reporting units. The quantitative analysis assumed that the purchase consideration for the Depop and Elo7 acquisitions approximated the fair value of each of the reporting units given the proximity to the respective acquisition dates.
For the years ended December 31, 2023 and December 31, 2021, the Company did not record any goodwill impairment expense. For the year ended December 31, 2022, the Company recorded $1.0 billion of goodwill impairment expense.
At December 31, 2023 and 2022, the gross book value and accumulated amortization of intangible assets were as follows (in thousands):
 As of December 31, 2023
 Gross book
value		Accumulated
amortization		Net book
value		Weighted-Average
Remaining Life (in years)
Trademark$308,583 $(51,328)$257,255 16.0
Customer relationships229,737 (53,034)176,703 10.6
Referral agreement35,135 (19,393)15,742 4.5
Patent licenses9,617 (2,177)7,440 9.2
Intangible assets$583,072 $(125,932)$457,140 13.4
 As of December 31, 2022
 Gross book
value		Accumulated
amortization		Net book
value		Weighted-Average
Remaining Life (in years)
Trademark$318,489 $(35,873)$282,616 16.7
Customer relationships265,429 (39,808)225,621 11.9
Referral agreement34,050 (15,404)18,646 5.5
Patent licenses9,617 (1,094)8,523 9.9
Intangible assets$627,585 $(92,179)$535,406 14.2
Amortization expense of intangible assets for the years ended December 31, 2023, 2022, and 2021 was $39.7 million, $41.3 million, and $28.4 million, respectively.
During the second quarter of 2023, the Company concluded that the book value of the finite-lived intangible assets for the Elo7 reporting units were fully impaired, and recorded an impairment charge of $60.2 million in Asset Impairment charges in the Consolidated Statement of Operations, which primarily related to trademark and customer relationships. The impairment charge was the result of macroeconomic conditions at the time, challenges applying the Company’s technological, marketing, and operational expertise to help scale Elo7’s business, and the resultant headwinds to the business, which caused the Company to revise its business forecasts for Elo7 downwards. The Company prepared an updated fair value for the Elo7 reporting unit based on a quantitative assessment, which included estimates of future revenue, and the net available cash flows; as well as a determination that the Company would more likely than not use the Elo7 asset group for a period of less than twelve months. The Company completed the sale of Elo7 in the third quarter of 2023. Refer to “Note 6—Sale of Business” for further details. The Company did not recognize any intangible asset impairment losses in the years ended December 31, 2022 and 2021.
Based on amounts recorded at December 31, 2023, the Company estimates future amortization expense of intangible assets as follows (in thousands):
2024$38,079 
202538,080 
202637,758 
202737,690 
202835,680 
Thereafter269,853 
Total amortization expense$457,140 
v3.24.0.1
Segment and Geographic Information
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment and Geographic Information
Note 8—Segment and Geographic Information
The Company has determined it has three operating segments, Etsy, Reverb, and Depop, which qualify for aggregation as one reportable segment.
Revenue by country is based on the billing address of the seller. The following table summarizes revenue by geographic area (in thousands):
 Year Ended  
December 31,
 202320222021
United States$1,472,677 $1,429,650 $1,393,637 
United Kingdom 347,889 343,788 329,203 
All Other927,811 792,673 606,274 
Revenue$2,748,377 $2,566,111 $2,329,114 
With the exception of the United States and United Kingdom, no individual country’s revenue exceeded 10% of total revenue.
The following table summarizes tangible long-lived assets by geographic area (in thousands):
As of December 31,
20232022
United States$153,826 $165,529 
All Other21,432 9,792 
Long-lived assets $175,258 $175,321 
With the exception of the United States, no individual country’s tangible long-lived assets exceeded 10% of total tangible long-lived assets.
v3.24.0.1
Fair Value Measurements
 12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Fair Value Measurements
Note 9—Fair Value Measurements
The Company has characterized its investments, based on the priority of the inputs used to value the investments, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1), and lowest priority to unobservable inputs (Level 3). If the inputs used to measure the investments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the investment. Investments recorded in the accompanying Consolidated Balance Sheets are categorized based on the inputs to valuation techniques as follows:
Level 1 These are investments where values are based on unadjusted quoted prices for identical assets in an active market that the Company has the ability to access.
Level 2 These are investments where values are based on quoted market prices in markets that are not active or model derived valuations in which all significant inputs are observable in active markets.
Level 3 These are financial instruments where values are derived from techniques in which one or more significant inputs are unobservable. The Company did not have any Level 3 instruments as of December 31, 2022.
Short- and long-term investments and certain cash equivalents consist of investments in debt securities that are available-for-sale.
In the year ended December 31, 2022, the Company set up the Impact Investment Fund through which the Company expects to deploy approximately $30 million to further the Company’s Impact strategy and goals. In the year ended December 31, 2023, the Company invested a portion of the Impact Investment Fund in four investments which are classified as long-term investments on its Consolidated Balance Sheet. The investments in loan receivables are measured on an amortized cost basis and the investments in third-party managed funds are measured on the net assets value (“NAV”) basis. The Company uses NAV or its equivalent to measure the value of certain investments in alternative investment funds, debt funds, equity funds, and private equity funds, which may be redeemable in the near term or restricted from redemption in the near term, as a practical expedient. NAV is primarily determined based on the information provided by external fund administrators for which the most recent financial information is typically received on a lag within the quarter following the Company’s balance sheet date.
The following table sets forth the cost, gross unrealized losses, gross unrealized gains, and fair values of the Company’s investments as of the dates indicated (in thousands):
CostGross
Unrealized
Holding Loss		Gross
Unrealized
Holding Gain		Fair ValueCash and Cash EquivalentsShort-term InvestmentsLong-term Investments
December 31, 2023
Level 1
Money market funds (1)$377,021 $— $— $377,021 $376,941 $80 $— 
U.S. Government securities95,298 (164)39 95,173 — 60,153 35,020 
472,319 (164)39 472,194 376,941 60,233 35,020 
Level 2
U.S. agency securities15,635 (14)3 15,624 — 15,624 — 
Certificate of deposit35,365 (1)55 35,419 — 35,419 — 
Commercial paper62,463 (12)54 62,505 4,449 58,056 — 
Corporate bonds100,386 (145)128 100,369 1,566 66,786 32,017 
213,849 (172)240 213,917 6,015 175,885 32,017 
Level 3
Loans receivable - held for investment6,000 — — 6,000 — — 6,000 
6,000 — — 6,000 — — 6,000 
$692,168 $(336)$279 $692,111 $382,956 $236,118 $73,037 
Measured at NAV (2)
Third-party managed funds$13,639 
$86,676 
December 31, 2022
Level 1
Money market funds (1)$462,866 $— $— $462,866 $374,314 $76 $— 
U.S. Government securities64,968 (424)4 64,548 2,995 61,553 — 
527,834 (424)4 527,414 377,309 61,629 — 
Level 2
U.S. agency securities10,053 (1)3 10,055 — 10,055 — 
Certificate of deposit40,915 (184)7 40,738 5,471 35,267 — 
Commercial paper57,777 (101)18 57,694 4,454 53,240 — 
Corporate bonds122,294 (1,729)6 120,571 1,212 90,222 29,137 
231,039 (2,015)34 229,058 11,137 188,784 29,137 
$758,873 $(2,439)$38 $756,472 $388,446 $250,413 $29,137 
(1)There were no money market funds classified as funds receivable and seller accounts as of December 31, 2023. $88.5 million of money market funds were classified as funds receivable and seller accounts as of December 31, 2022.
(2)Third-party managed funds measured on the NAV basis have not been categorized in the fair value hierarchy. The amount presented in the table is intended to permit reconciliation of the long-term investments in the fair value hierarchy to the amount presented in the Consolidated Balance Sheet.
The table below shows the gross unrealized loss and fair value of the following investments in available-for-sale debt securities that are classified by the length of time that the securities have been in a continuous unrealized loss position as of the dates
indicated (in thousands):
 Gross
Unrealized
Holding
Loss		Fair Value
December 31, 2023
Less than 12 months in a continuous unrealized loss position
U.S. agency securities
$(14)$12,569 
Certificate of deposit
(1)7,178 
Commercial paper
(12)34,066 
Corporate bonds(73)28,401 
U.S. Government securities(164)71,536 
$(264)$153,750 
12 months or longer in a continuous unrealized loss position
Corporate bonds$(72)$20,808 
$(72)$20,808 
December 31, 2022
Less than 12 months in a continuous unrealized loss position
Corporate bonds$(281)$70,469 
U.S. Government securities(265)51,075 
$(546)$121,544 
12 months or longer in a continuous unrealized loss position
Corporate bonds$(1,448)$50,102 
U.S. Government securities(159)7,442 
$(1,607)$57,544 
As of December 31, 2022, the remaining available-for-sale debt securities in an unrealized loss position have been in a continuous unrealized loss position for less than 12 months.
The Company evaluates fair value for each individual security in the investment portfolio. When assessing the risk of credit loss, the Company considers factors such as the extent to which the fair value is less than the amortized cost basis, the credit rating, including whether there has been any changes to the rating of the security by a rating agency, available information relevant to the collectability of the security, and management’s intended holding period and time horizon for selling the security. The Company did not recognize a credit loss in the years ended December 31, 2023, 2022, and 2021.
Outside of the Company’s Impact Investment Fund, the Company typically invests in short- and long-term instruments, including fixed-income funds and U.S. Government securities aligned with the Company’s investment strategy. In accordance with the Company’s investment policy, all investments, other than investments made through its Impact Investment Fund, have maturities no longer than 37 months, with the average maturity of these investments maintained at 12 months or less.
Disclosure of Fair Values
The Company’s financial instruments that are not remeasured at fair value in the Consolidated Balance Sheets include the Notes. See “Note 13—Debt” for additional information. The Company estimates the fair value of the Notes through inputs that are observable in the market, classified as Level 2 as described above. The following table presents the carrying value and estimated fair value of the Notes as of the dates indicated (in thousands):
As of December 31, 2023As of December 31, 2022
Carrying ValueFair ValueCarrying ValueFair Value
2021 Notes$991,529 $799,000 $989,629 $863,300 
2020 Notes645,624 556,790 644,431 646,230 
2019 Notes646,664 747,630 645,536 998,361 
2018 Notes— — 44 145 
$2,283,817 $2,103,420 $2,279,640 $2,508,036 
The carrying value of other financial instruments, including accounts receivable, funds receivable and seller accounts, accounts payable, and funds payable and amounts due to sellers approximate fair value due to the immediate or short-term maturity associated with these instruments.
v3.24.0.1
Property and Equipment
 12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Property and Equipment
Note 10—Property and Equipment
Property and equipment consisted of the following as of the dates indicated (in thousands):
  As of December 31,
 Estimated useful lives20232022
Computer equipment3 years$15,534 $12,820 
Furniture and equipment
2 - 4 years
14,011 11,398 
Leasehold improvementsShorter of life of asset or lease term62,220 56,095 
Construction in progressNot applicable— 419 
BuildingLease term133,063 133,063 
Website development and internal-use software
3 - 5 years
269,018 240,138 
493,846 453,933 
Less: Accumulated depreciation and amortization244,052 204,189 
$249,794 $249,744 
Depreciation and amortization expense on property and equipment was $51.6 million, $55.5 million, and $45.8 million, which included amortization expense relating to capitalized website development and internal-use software of $34.3 million, $37.3 million, and $30.0 million, for the years ended December 31, 2023, 2022, and 2021, respectively.
During the second quarter of 2023, the Company concluded that the book value of the long-lived assets for the Elo7 reporting units were fully impaired, and recorded an impairment charge of $7.9 million in Asset Impairment charges in the Consolidated Statement of Operations, which primarily related to developed technology. The impairment charge was the result of macroeconomic conditions at the time, challenges applying the Company’s technological, marketing, and operational expertise to help scale Elo7’s business, and the resultant headwinds to the business, which caused the Company to revise its business forecasts for Elo7 downwards. The Company prepared an updated fair value for the Elo7 reporting unit based on a quantitative assessment, which included estimates of future revenue, and the net available cash flows; as well as a determination that the Company would more likely than not use the Elo7 asset group for a period of less than twelve months. The Company completed the sale of Elo7 in the third quarter of 2023. Refer to “Note 6—Sale of Business” for further details. In the third quarter of 2022, the developed technology asset acquired as part of the Reverb acquisition, and as recorded in capitalized website development and internal-use software, was fully amortized.
v3.24.0.1
Leases
 12 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Leases
Note 11—Leases
For the years ended December 31, 2023, 2022, and 2021, the elements of lease expense were as follows (in thousands): 
Year Ended  
December 31,
202320222021
Operating lease cost$6,832 $8,251 $6,320 
Finance lease cost:
Amortization of right-of-use assets6,809 7,174 9,139 
Interest on lease liabilities5,190 5,392 3,044 
Total finance lease cost11,999 12,566 12,183 
Other lease cost, net (1)1,385 1,220 1,193 
Total lease cost$20,216 $22,037 $19,696 
(1)Other lease cost, net includes short-term lease costs and variable lease costs.
The following table presents the lease-related assets and liabilities recorded on the Consolidated Balance Sheets (in thousands):
As of December 31,
20232022
Operating leases:
Other assets$42,153 $38,784 
Other current liabilities$4,939 $4,233 
Other liabilities41,105 38,085 
Total operating lease liabilities$46,044 $42,318 
Finance leases:
Property and equipment, net$95,381 $102,169 
Finance lease obligations—current$6,079 $4,731 
Finance lease obligations—net of current portion99,620 105,699 
Total finance lease liabilities$105,699 $110,430 

The following table summarizes the weighted average remaining lease term and weighted average discount rate as of December 31, 2023 and 2022:
As of December 31,
20232022
Weighted average remaining lease term:
Operating leases13.47 years14.54 years
Finance leases15.56 years16.49 years
Weighted average discount rate:
Operating leases4.40 %4.54 %
Finance leases4.73 %4.73 %
Supplemental cash flow information related to leases was as follows (in thousands):
Year Ended  
December 31,
202320222021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases$(6,482)$(7,871)$(6,442)
Operating cash flows used in finance leases(5,174)(5,387)(3,025)
Finance cash flows used in finance leases(6,278)(6,307)(8,864)
Future minimum lease payments under non-cancelable leases as of December 31, 2023 were as follows (in thousands):
Operating LeasesFinance Leases
2024$6,549 $10,115 
20256,565 10,760 
20261,855 100 
20271,310 882 
20284,300 10,593 
Thereafter42,717 124,404 
Total future minimum lease payments (1)63,296 156,854 
Less:
Imputed interest17,252 51,155 
Total$46,044 $105,699 
(1)In the fourth quarter of 2021, the Company entered into a First Amendment to Lease (the “First Amendment”) related to the Company’s corporate headquarters in Brooklyn, New York, a portion of which is accounted for as a finance lease and a portion as an operating lease. The First Amendment extended the expiration of the term of the lease from July 31, 2026 to July 31, 2039. The First Amendment includes a tenant allowance, a portion of which became available beginning in April 2022, rent concessions that become available beginning in 2026, and escalating commitments each contract year between 2028 and 2038, which are reflected in the future minimum lease payments.
Leases
Note 11—Leases
For the years ended December 31, 2023, 2022, and 2021, the elements of lease expense were as follows (in thousands): 
Year Ended  
December 31,
202320222021
Operating lease cost$6,832 $8,251 $6,320 
Finance lease cost:
Amortization of right-of-use assets6,809 7,174 9,139 
Interest on lease liabilities5,190 5,392 3,044 
Total finance lease cost11,999 12,566 12,183 
Other lease cost, net (1)1,385 1,220 1,193 
Total lease cost$20,216 $22,037 $19,696 
(1)Other lease cost, net includes short-term lease costs and variable lease costs.
The following table presents the lease-related assets and liabilities recorded on the Consolidated Balance Sheets (in thousands):
As of December 31,
20232022
Operating leases:
Other assets$42,153 $38,784 
Other current liabilities$4,939 $4,233 
Other liabilities41,105 38,085 
Total operating lease liabilities$46,044 $42,318 
Finance leases:
Property and equipment, net$95,381 $102,169 
Finance lease obligations—current$6,079 $4,731 
Finance lease obligations—net of current portion99,620 105,699 
Total finance lease liabilities$105,699 $110,430 

The following table summarizes the weighted average remaining lease term and weighted average discount rate as of December 31, 2023 and 2022:
As of December 31,
20232022
Weighted average remaining lease term:
Operating leases13.47 years14.54 years
Finance leases15.56 years16.49 years
Weighted average discount rate:
Operating leases4.40 %4.54 %
Finance leases4.73 %4.73 %
Supplemental cash flow information related to leases was as follows (in thousands):
Year Ended  
December 31,
202320222021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases$(6,482)$(7,871)$(6,442)
Operating cash flows used in finance leases(5,174)(5,387)(3,025)
Finance cash flows used in finance leases(6,278)(6,307)(8,864)
Future minimum lease payments under non-cancelable leases as of December 31, 2023 were as follows (in thousands):
Operating LeasesFinance Leases
2024$6,549 $10,115 
20256,565 10,760 
20261,855 100 
20271,310 882 
20284,300 10,593 
Thereafter42,717 124,404 
Total future minimum lease payments (1)63,296 156,854 
Less:
Imputed interest17,252 51,155 
Total$46,044 $105,699 
(1)In the fourth quarter of 2021, the Company entered into a First Amendment to Lease (the “First Amendment”) related to the Company’s corporate headquarters in Brooklyn, New York, a portion of which is accounted for as a finance lease and a portion as an operating lease. The First Amendment extended the expiration of the term of the lease from July 31, 2026 to July 31, 2039. The First Amendment includes a tenant allowance, a portion of which became available beginning in April 2022, rent concessions that become available beginning in 2026, and escalating commitments each contract year between 2028 and 2038, which are reflected in the future minimum lease payments.
v3.24.0.1
Accrued Expenses
 12 Months Ended
Dec. 31, 2023
Payables and Accruals [Abstract]  
Accrued Expenses
Note 12—Accrued Expenses
Accrued expenses consisted of the following as of the dates indicated (in thousands):
As of December 31,
20232022
Pass-through marketplace tax collection obligation$126,284 $129,591 
Vendor accruals120,804 127,791 
Employee compensation-related liabilities (1)95,842 63,718 
Taxes payable10,623 10,134 
Total accrued expenses$353,553 $331,234 
(1)December 31, 2023 includes severance and employee-related benefits associated with restructuring and other exit costs. See “Note 17—Restructuring and Other Exit Costs” for more information.
v3.24.0.1
Debt
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Debt
Note 13—Debt

The following table presents the outstanding principal amount and carrying value of the Notes as of the dates indicated (in thousands):
As of December 31, 2023
2021 Notes2020 Notes2019 Notes2018 NotesTotal
Principal$1,000,000 $650,000 $649,887 $— $2,299,887 
Unamortized debt issuance costs8,471 4,376 3,223 — 16,070 
Net carrying value$991,529 $645,624 $646,664 $— $2,283,817 
As of December 31, 2022
2021 Notes2020 Notes2019 Notes2018 NotesTotal
Principal$1,000,000 $650,000 $649,932 $44 $2,299,976 
Unamortized debt issuance costs10,371 5,569 4,396 — 20,336 
Net carrying value$989,629 $644,431 $645,536 $44 $2,279,640 
Terms of the Notes
The terms of the Notes are summarized below:
Convertible NotesMaturity DateContractual Convertibility Date (1)Initial Conversion Rate per $1,000 Principal (2)Initial Conversion PriceAnnual Effective Interest Rate
2021 NotesJune 15, 2028February 15, 20284.0518 $246.80 0.4 %
2020 NotesSeptember 1, 2027May 1, 20275.0007 199.97 0.3 %
2019 NotesOctober 1, 2026June 1, 202611.4040 87.69 0.3 %
2018 Notes
March 1, 2023November 1, 202227.5691 36.27 — %
(1)Based on the daily closing prices of the Company’s stock during the quarter ended December 31, 2023, holders of the 2021 Notes, 2020 Notes, and 2019 Notes are not eligible to convert their 2021 Notes, 2020 Notes, and remaining 2019 Notes, respectively, during the first quarter of 2024.
(2)The initial conversion rate will be subject to adjustment upon the occurrence of certain specified events, including certain distributions and dividends to all or substantially all of the holders of the Company’s common stock.

Based on the terms of each series of Notes, they will mature on the respective maturity date, unless earlier converted, redeemed, or repurchased. Additionally, the holders of each series of Notes may convert all or a portion of the Notes prior to the close of business on the business day immediately preceding the respective contractual convertibility date only under the following circumstances (in each case, as applicable to each series of Notes): (1) during any calendar quarter commencing after the calendar quarter ending on September 30, 2021, December 31, 2020, and December 31, 2019 (and only such calendar quarter) for the 2021 Notes, 2020 Notes, and remaining 2019 Notes, respectively, if the last reported sale price of the Company’s common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (2) during the 5 business day period after any 10 consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of the Note for each trading day of the measurement period was less than 98% of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; (3) if the Company calls the Notes for redemption at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date, but only with respect to the Notes called (or deemed called) for redemption; or (4) upon the occurrence of specified corporate events. On and after the applicable contractual convertibility date until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their Notes at any time, regardless of the foregoing circumstances.

The Notes are general unsecured obligations of the Company. The Notes rank senior in right of payment to all of the Company’s future indebtedness that is expressly subordinated in right of payment to the Notes; rank equal in right of payment with all of the Company’s liabilities that are not so subordinated; are effectively junior to any of the Company’s secured indebtedness; and are structurally junior to all indebtedness and liabilities (including trade payables) of the Company’s subsidiaries.
Based on the terms of each series of Notes, when a conversion notice is received, the Company has the option to pay or deliver cash, shares of the Company’s common stock, or a combination thereof. Accordingly, the Company cannot be required to settle the Notes in cash and, therefore, the Notes are classified as long-term debt as of December 31, 2023.
2021 Convertible Debt

In June 2021, the Company issued $1.0 billion aggregate principal amount of the 2021 Notes in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The net proceeds from the sale of the 2021 Notes were approximately $986.7 million after deducting the initial purchasers’ discount and offering expenses and before the 2021 Capped Call Transactions, as described below, and the repurchase of stock, as described in “Note 15—Stockholders’ (Deficit) Equity.” The Company used $85.0 million of the net proceeds from the 2021 Notes to enter into privately negotiated capped call instruments (“2021 Capped Call Transactions”) with certain financial institutions.

The Company may redeem all or any portion of the 2021 Notes, at the Company’s option, subject to partial redemption limitations, on or after June 20, 2025, if the last reported sale price of the Company’s common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive), including the trading day immediately preceding the date on which the Company provides notice of redemption, during any 30 consecutive trading day period ending on, and including, the trading day immediately preceding the date on which the Company provides notice of redemption at a redemption price equal to 100% of the principal amount of the 2021 Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date.
If a fundamental change occurs prior to the maturity date, holders may require the Company to repurchase all or a portion of their 2021 Notes for cash at a price equal to 100% of the principal amount of the 2021 Notes to be repurchased. Holders of 2021 Notes who convert their 2021 Notes in connection with a notice of a redemption or a make-whole fundamental change may be entitled to a premium in the form of an increase in the conversion rate of the 2021 Notes. As of December 31, 2023, none of the conditions permitting the holders of the 2021 Notes to early convert have been met.
2020 Convertible Debt
In August 2020, the Company issued $650.0 million aggregate principal amount of the 2020 Notes in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act. The net proceeds from the sale of the 2020 Notes were approximately $639.5 million after deducting the offering expenses and before the purchase of the 2020 Capped Call Transactions and the partial repurchase of the 2018 Notes, each as described below. The Company used $74.7 million of the net proceeds from the 2020 Notes to enter into privately negotiated capped call instruments (“2020 Capped Call Transactions”) with certain financial institutions.
If a fundamental change occurs prior to the maturity date, holders may require the Company to repurchase all or a portion of their 2020 Notes for cash at a price equal to 100% of the principal amount of the 2020 Notes to be repurchased. Holders of 2020 Notes who convert their 2020 Notes in connection with a notice of a redemption or a make-whole fundamental change may be entitled to a premium in the form of an increase in the conversion rate of the 2020 Notes. As of December 31, 2023, none of the conditions permitting the holders of the 2020 Notes to early convert have been met.
2019 Convertible Debt
In September 2019, the Company issued $650.0 million aggregate principal amount of the 2019 Notes in a private placement to qualified institutional buyers pursuant to the Securities Act. The net proceeds from the sale of the 2019 Notes were $639.5 million after deducting the initial purchasers’ discount and offering expenses. The Company used $76.2 million of the net proceeds from the 2019 Notes offering to enter into separate capped call instruments (“2019 Capped Call Transactions”) with the initial purchasers and/or their respective affiliates.

If a fundamental change occurs prior to the maturity date, holders may require the Company to repurchase all or a portion of their 2019 Notes for cash at a price equal to 100% of the principal amount of the 2019 Notes to be repurchased. Holders of 2019 Notes who convert their 2019 Notes in connection with a notice of a redemption or a make-whole fundamental change may be entitled to a premium in the form of an increase in the conversion rate of the 2019 Notes.
2018 Convertible Debt
In March 2018, the Company issued $345.0 million aggregate principal amount of the 2018 Notes, in a private placement to qualified institutional buyers pursuant to the Securities Act. The net proceeds from the sale of the 2018 Notes were $335.0 million after deducting the initial purchasers’ discount and offering expenses. The Company used $34.2 million of the net
proceeds from the 2018 Notes offering to enter into separate capped call instruments (“2018 Capped Call Transactions”) with the initial purchasers and/or their respective affiliates.
During the year ended December 31, 2020, the Company paid $137.2 million in cash and issued approximately 7.3 million shares of Etsy’s common stock to repurchase $301.1 million aggregate principal amount of its outstanding 2018 Notes through privately negotiated transactions.
During the year ended December 31, 2021, the Company paid $43.9 million in cash and issued approximately 1.0 million shares of Etsy’s common stock to settle conversion notices of $43.9 million aggregate principal amount of the outstanding 2018 Notes. The debt conversion transactions were accounted for in accordance with ASU 2020-06, which was adopted in the first quarter of 2021.
During the first quarter of 2023, upon maturity of the 2018 Notes, the Company paid in cash the remaining outstanding principal of $44 thousand to the holders of the 2018 Notes.
Interest Expense
Interest expense, which consists of coupon interest and amortization of debt issuance costs, related to each of the Notes for the periods presented below was as follows (in thousands):

Year Ended  
December 31,

202320222021
2021 Notes$4,400 $4,400 $2,411 
2020 Notes2,006 2,006 2,006 
2019 Notes1,985 1,985 1,985 
2018 Notes— — 44 
Total interest expense
$8,391 $8,391 $6,446 
Fair Value of Notes
The estimated fair value of the Notes was determined through inputs that are observable in the market, and are classified as Level 2. See “Note 9—Fair Value Measurements ” for more information regarding the fair value of the Notes.
Capped Call Transactions
The Company used a portion of the net proceeds from each of the Note offerings to enter into separate privately negotiated capped call instruments (the 2018, 2019, 2020, and 2021 capped call instruments collectively referred to as the “Capped Call Transactions”) with certain financial institutions, initial purchasers, and/or their respective affiliates. The Capped Call Transactions are expected generally to reduce the potential dilution and/or offset the cash payments the Company is required to make in excess of the principal amount of the Notes upon conversion of the Notes in the event that the market price per share of the Company’s common stock is greater than the strike price of the Capped Call Transactions with such reduction and/or offset subject to a cap. Collectively, the Capped Call Transactions cover, initially, the number of shares of the Company’s common stock underlying the respective Notes, subject to anti-dilution adjustments substantially similar to those applicable to the Notes.
The initial terms of the Company’s Capped Call Transactions are presented below:
Capped Call TransactionsMaturity DateInitial Cap Price per ShareCap Price Premium
2021 Capped Call TransactionsJune 15, 2028$340.42 100 %
2020 Capped Call TransactionsSeptember 1, 2027327.83150 %
2019 Capped Call TransactionsOctober 1, 2026148.63150 %

The 2018 capped call transactions matured on March 1, 2023, and, in accordance with the settlement terms, the Company received 1,194,006 shares of the Company’s common stock from the counterparties to the capped call instruments. These shares were retired upon receipt.

Each series of the Capped Call Transactions does not meet the criteria for separate accounting as a derivative as they are indexed to the Company’s stock. The premiums paid for each of the Capped Call Transactions have been included as a net reduction to additional paid-in capital within stockholders’ equity.
2023 Credit Agreement
On March 24, 2023, the Company entered into a $400.0 million senior secured revolving credit facility pursuant to an Amended and Restated Credit Agreement (the “2023 Credit Agreement”) among the Company, as borrower, certain subsidiaries of the Company as guarantors, the lenders, and JPMorgan Chase Bank N.A., as administrative Agent. The 2023 Credit Agreement will mature in March 2028 and includes a letter of credit sublimit of $60.0 million and a swingline loan sublimit of $20.0 million.
The 2023 Credit Agreement amends and restates in its entirety the Credit Agreement dated as of February 25, 2019 (the “2019 Credit Agreement”) between the Company, as borrower, the lenders party thereto from time to time, and Citibank N.A., as administrative Agent.
Borrowings under the 2023 Credit Agreement (other than swingline loans) bear interest, at the Company’s option, at (i) a base rate equal to the highest of (a) the prime rate, (b) the federal funds rate plus 0.50%, and (c) an adjusted Term SOFR rate for a one-month interest period plus 1.00%, in each case plus a margin ranging from 0.50% to 1.25% or (ii) an adjusted Term SOFR rate plus a margin ranging from 1.50% to 2.25%. Swingline loans under the 2023 Credit Agreement bear interest at the same base rate (plus the margin applicable to borrowings bearing interest at the base rate). These margins are determined based on the senior secured net leverage ratio (defined as secured funded debt, net of unrestricted cash up to $100.0 million, to EBITDA (as defined in the 2023 Credit Agreement)) for the preceding four fiscal quarter periods. The Company is also obligated to pay other customary fees for a credit facility of this size and type, including an unused commitment fee, ranging from 0.20% to 0.35% depending on the Company’s senior secured net leverage ratio, and fees associated with letters of credit. The 2023 Credit Agreement also permits the Company, in certain circumstances, to request an increase in the facility by an amount of up to $200.0 million at the same maturity, pricing, and other terms and to request an extension of the maturity date for the facility. In connection with the 2023 Credit Agreement, the Company also paid the lenders certain upfront fees.
The 2023 Credit Agreement contains customary representations and warranties applicable to the Company and its subsidiaries and customary affirmative and negative covenants applicable to the Company and its restricted subsidiaries. The negative covenants include restrictions on, among other things, indebtedness, liens, certain fundamental changes (including mergers), investments, dispositions, restricted payments (including dividends and stock repurchases), prepayments of junior debt, and transactions with affiliates. These restrictions do not prohibit a subsidiary of the Company from making pro rata payments to the Company or any other person that owns an equity interest in such subsidiary. The 2023 Credit Agreement contains financial covenants, that require the Company and its subsidiaries to maintain (i) a secured net leverage ratio not to exceed 3.50 to 1.00, subject to an increase, at the option of the Company, to 4.00 to 1.00 for a specified period of time in the event of certain material acquisitions, tested as of the last day of each fiscal quarter.
The 2023 Credit Agreement includes customary events of default, including, but not limited to, nonpayment of principal or interest, breaches of representations and warranties, failure to perform or observe covenants, cross-defaults with certain other indebtedness, final judgments or orders, certain change of control events, and certain bankruptcy-related events or proceedings. Upon the occurrence of an event of default (subject to notice and grace periods), obligations under the 2023 Credit Agreement could be accelerated.
Subject to certain exceptions, to the extent the Company has any material domestic subsidiaries, the obligations under the 2023 Credit Agreement would be required to be guaranteed by such material domestic subsidiaries. The obligations under the 2023 Credit Agreement are secured by all or substantially all of the assets of the Company and any such subsidiary guarantors.
While the Company had no outstanding borrowings under the 2023 Credit Agreement as of December 31, 2023, one of the lenders has issued a $5.3 million standby letter of credit in favor of the landlord of the Company’s corporate headquarters, which can be drawn down from amounts available under the 2023 Credit Agreement. At December 31, 2022, the Company did not have any borrowings under the 2019 Credit Agreement. As of December 31, 2023 and December 31, 2022, the Company was in compliance with all financial covenants.
v3.24.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
Note 14—Commitments and Contingencies

Purchase Obligations
The Company has $420.8 million of non-cancelable contractual commitments as of December 31, 2023, primarily related to cloud computing in which the commitments are due over the course of approximately three years. For agreements with variable terms, the Company does not estimate what the total obligation may be beyond any minimum quantities and/or pricing. For purchase obligations with cancellation provisions, the amounts included in the following table were limited to the non-cancelable portion of the agreement terms or the minimum cancellation fees.
The Company’s future payments under purchase obligations as of December 31, 2023 were as follows (in thousands):
Purchase Obligations
Periods ending
2024$134,245 
2025191,547 
202695,000 
Thereafter— 
Total purchase obligations$420,792 

Non-Income Tax Contingencies
The Company had reserves of $26.2 million and $43.2 million at December 31, 2023 and 2022, respectively, for certain non-income tax obligations, representing management’s best estimate of its potential liability. The reserves as of December 31, 2023 and 2022 include $11.5 million and $30.4 million, respectively, due to the acquisitions of subsidiaries, some of which are offset by an indemnification asset of $3.0 million as of December 31, 2022. These amounts were primarily recorded as part of purchase accounting. The Company could also be subject to examination in various jurisdictions related to income tax and non-income tax matters. The resolution of these types of matters, if in excess of the recorded reserve, could have an adverse impact on the Company’s consolidated financial statements.
Legal Proceedings
From time to time in the normal course of business, various claims and litigation have been asserted or commenced against the Company. Due to uncertainties inherent in litigation and other claims, the Company can give no assurance that it will prevail in any such matters, which could subject the Company to significant liability for damages. Any claims or litigation could have an adverse effect on the Company’s results of operations, cash flows, or business and financial condition in the period the claims or litigation are resolved. Although the results of litigation and claims cannot be predicted with certainty, the Company currently believes that the final outcome of these matters will not have a material adverse effect on its business.
v3.24.0.1
Stockholders' (Deficit) Equity
 12 Months Ended
Dec. 31, 2023
Equity [Abstract]  
Stockholders' (Deficit) Equity
Note 15—Stockholders’ (Deficit) Equity
Stock Repurchases
On June 14, 2023, the Board of Directors approved a stock repurchase program that authorizes the Company to repurchase up to $1 billion of its common stock (the “June 2023 Stock Repurchase Program”). As of December 31, 2023, the remaining amount available to be repurchased under the approved plan was $724.4 million.
The June 2023 Stock Repurchase Program does not have a time limit and may be modified, suspended, or terminated at any time by the Board of Directors. The number of shares repurchased and the timing of repurchases will depend on a number of factors, including, but not limited to, stock price, trading volume, and general market conditions, along with the Company’s working capital requirements, general business conditions, and other factors.

In May 2022, the Board of Directors approved a stock repurchase program that authorized the Company to repurchase up to $600 million of its common stock. All purchases under this program were completed in the third quarter of 2023.
In December 2020, the Board of Directors approved a stock repurchase program that enabled the Company to repurchase up to $250 million of its common stock. The program was completed in the third quarter of 2022.
The following table summarizes the Company’s cumulative stock repurchase activity under the programs noted above (in thousands, except share and per share amounts):
Shares RepurchasedAverage Price Paid per Share (1)
Repurchases of common stock for the year ended December 31, 20236,879,844 83.86
Repurchases of common stock for the year ended December 31, 20223,958,155 107.56 
Repurchases of common stock for the year ended December 31, 2021554,718 221.33 
(1)Average price paid per share excludes broker commissions and excise tax.
All repurchases were made using cash on hand, and all repurchased shares of common stock have been retired.
Under the June 2023 Stock Repurchase Program, the Company may purchase shares of its common stock through various means, including open market transactions, privately negotiated transactions, tender offers, or any combination thereof. In addition, open market repurchases of common stock could be made pursuant to trading plans established pursuant to Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, which would permit common stock to be repurchased at a time that the Company might otherwise be precluded from doing so under insider trading laws or self-imposed trading restrictions.
The 2018 capped call transactions matured on March 1, 2023, and in accordance with the settlement terms, the Company received 1,194,006 shares of the Company’s common stock from the counterparties to the capped call instruments. These shares were retired upon receipt. See “Note 13—Debt” for additional information. This receipt and subsequent retirement of shares was separate from the stock repurchase plans approved by the Board of Directors as described above.
Additionally, in June 2021, the Company repurchased approximately 1.1 million shares of its common stock for approximately $180 million concurrently with the issuance of the 2021 Notes. See “Note 13—Debt” for more information. This repurchase was separate from the stock repurchase program approved by the Board of Directors in December 2020.
v3.24.0.1
Stock-based Compensation
 12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Stock-based Compensation
Note 16—Stock-based Compensation
The Company’s 2015 Equity Incentive Plan (the “2015 Plan”) was adopted by its Board of Directors and approved by stockholders in March 2015. The 2015 Plan provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock, RSUs, PBRSUs, and performance cash awards to employees and directors. Beginning in 2016, the number of shares available for issuance under the 2015 Plan may be increased annually by an amount equal to the lesser of 7,050,000 shares of common stock, 5% of the outstanding shares of common stock as of the last day of the immediately preceding fiscal year, or such other amount as determined by the Company’s Board of Directors. The Board of Directors approved an increase of 0, 6,252,714, and 6,351,106 shares available for issuance under the 2015 Plan as of January 2, 2024, January 2, 2023, and January 3, 2022, respectively. Any awards issued under the 2015 Plan that are forfeited by the participant will become available for future grant under the 2015 Plan. At December 31, 2023, 56,644,564 shares were authorized under the 2015 Plan and 37,275,895 shares were available for future grant.
In the year ended December 31, 2023, the Company granted nonqualified stock options and RSUs, including Financial PBRSUs and TSR PBRSUs, to eligible participants under its 2015 Plan.
The Company recognizes forfeitures as they occur. Options were granted for a term of 10 years, and vest over a one year requisite service period for board members and a four year requisite service period for employees. For RSUs, vesting is typically over a four-year requisite service period for employees and is contingent upon continued employment with the Company on each vesting date. In general, for newly-hired employees, RSUs vest 25% after the first year of service and ratably each six-month period over a four-year period following the vesting commencement date, which is the first day of the month following the date of grant. In general, for current employees who receive an additional grant, awards vest ratably each six-month period over a four-year period following the vesting commencement date.
For Financial PBRSUs, the number of RSUs received will depend on the achievement of financial metrics relative to the approved performance targets. Depending on the actual financial metrics achieved relative to the target financial metrics, throughout the defined performance period of the award, the number of PBRSUs that vest could range from 0% to 200% of the target amount, and are subject to the Compensation Committee’s approval of the level of achievement against the approved performance targets. For the TSR PBRSUs, the number of RSUs received will depend on the Company’s total shareholder return relative to that of the Nasdaq Composite Index over a three-year measurement period.
The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model. The fair value of RSUs is determined based on the closing price of the Company’s common stock on Nasdaq on the grant date. Additionally, the fair value of the Financial PBRSUs is determined using a probability assessment and the fair value of the TSR PBRSUs with market conditions is determined using a Monte-Carlo simulation model. For PBRSUs, the Company recognizes stock-based compensation expenses on a straight-line basis over the longest of the derived, explicit, or implicit service period. As of interim and annual reporting periods, the Financial PBRSUs stock-based compensation expense is adjusted based on expected achievement of performance targets, while TSR PBRSUs stock-based compensation expense is not adjusted.
The fair value of options granted in the periods indicated using the Black-Scholes pricing model has been based on the following assumptions:
 Year Ended  
December 31,
 202320222021
Expected Volatility
63.3%
62.5%
43.4% - 57.4%
Risk-free interest rate
4.1%
3.4%
0.8% - 1.2%
Expected term (in years)
4.5
4.6
4.6 - 6.2
The following table summarizes the activity for the Company’s options (in thousands, except share and per share amounts):
SharesWeighted-Average
Exercise Price		Weighted-Average
Remaining Contract
Term (in years)		Aggregate
Intrinsic Value
Outstanding at December 31, 20205,099,952 $20.97 6.81$800,453 
Granted198,193 218.93 
Exercised(994,456)22.83 
Forfeited/Canceled(29,964)47.86 
Outstanding at December 31, 20214,273,725 29.52 5.99810,321 
Granted9,916 76.05 
Exercised(816,620)18.40 
Forfeited/Canceled(10,704)126.22 
Outstanding at December 31, 20223,456,317 31.99 5.06322,230 
Granted8,131 95.06 
Exercised(623,161)22.83 
Forfeited/Canceled(65,356)123.29 
Outstanding at December 31, 20232,775,931 32.08 4.03158,476 
Total exercisable at December 31, 20232,650,630 27.44 3.89156,256 

The following table summarizes the weighted-average grant date fair value of options granted, intrinsic value of options exercised and fair value of awards vested in periods indicated (in thousands, except per share amounts):
 Year Ended December 31,
 202320222021
Weighted average grant date fair value of options granted$51.65 $40.84 $95.00 
Intrinsic value of options exercised44,266 87,892 206,709 
Fair value of awards vested278,537 195,929 96,592 
The total unrecognized compensation expense at December 31, 2023 related to the Company’s options was $5.3 million, which will be recognized over an estimated weighted-average amortization period of 1.16 years.

In connection with the acquisitions of Depop and Elo7 in July 2021, outstanding, unvested options held by continuing employees of each acquired entity as of the respective acquisition dates were replaced with Etsy RSU awards with the same aggregate fair value, with a total dollar value of $78.8 million, $5.6 million of which relates to pre-combination service and was included as a component of the purchase price. These RSUs generally follow the original vesting schedule of the replaced options, which provided that they will vest 25% on the first anniversary of their original vesting commencement date with the remaining 75% vesting ratably each month thereafter until the fourth anniversary of their original vesting commencement date.
The following table summarizes the activity for the Company’s unvested RSUs, which includes Financial PBRSUs and TSR PBRSUs:
SharesWeighted-Average
Fair Value
Unvested at December 31, 20203,085,987 $50.28 
Granted (1)2,136,685 208.84
Vested(1,400,241)59.80
Forfeited/Canceled(315,710)108.22
Unvested at December 31, 20213,506,721 137.87
Granted 5,226,948 119.83
Vested(1,670,084)110.53
Forfeited/Canceled(669,799)154.06
Unvested at December 31, 20226,393,786 128.37
Granted3,644,341 100.24
Vested(2,350,706)114.95
Forfeited/Canceled(1,490,623)127.68
Unvested at December 31, 20236,196,798 117.14
(1)Includes RSU awards issued to Depop and Elo7 employees in connection with the acquisitions in the third quarter of 2021.
The total unrecognized compensation expense at December 31, 2023 related to the Company’s unvested RSUs, including the Financial PBRSUs and TSR PBRSUs, was $596.0 million, which will be recognized over an estimated weighted-average amortization period of 2.57 years.
In connection with the acquisition of Depop, certain Depop executives were eligible to receive deferred consideration of $44.0 million in shares of Etsy common stock over the three years following the acquisition date, subject to certain service-based vesting conditions during the vesting period. These awards were to be settled by issuing shares of Etsy common stock on or shortly following the applicable vesting date, with the number of shares to be determined based on the Company’s stock price on, or leading up to, the applicable vesting date. These awards were to be recognized as post-combination service stock-based compensation expense over a vesting period equal to the mandatory service period associated with the award, with a corresponding liability included within Other liabilities on the Company’s Consolidated Balance Sheets until the service-based vesting criteria are met and the awards are settled in shares of Etsy common stock. As of December 31, 2023, the Company’s obligation related to this compensation is substantially complete.
Stock-based compensation expense included in the Consolidated Statements of Operations is as follows (in thousands):
 Year Ended  
December 31,
 202320222021
Cost of revenue$31,246 $23,283 $13,085 
Marketing22,784 19,571 11,339 
Product development146,017 124,559 58,900 
General and administrative84,511 63,475 56,586 
Stock-based compensation expense$284,558 $230,888 $139,910 
v3.24.0.1
Restructuring and Other Exit Costs
 12 Months Ended
Dec. 31, 2023
Restructuring and Related Activities [Abstract]  
Restructuring and Other Exit Costs
Note 17—Restructuring and Other Exit Costs
On December 12, 2023, the Company’s Board of Directors approved a restructuring plan designed to increase Etsy’s operational efficiencies, reduce operating costs, and better align Etsy’s workforce and cost structure with current business needs, top strategic priorities, and key growth opportunities (collectively, the “Restructuring Plan”). The Restructuring Plan includes an approximately 11% reduction of the Etsy marketplace workforce, which is approximately 225 employees.
Additionally, in the fourth quarter of 2023 Reverb reduced its workforce by approximately 13% to gain operational efficiencies and enable critical growth investments into 2024 and beyond.
In connection with these workforce reductions, Etsy incurred $26.6 million in charges in the fourth quarter of 2023, primarily consisting of severance and employee-related benefits. Etsy expects that the execution of the Restructuring Plan will be substantially complete by the end of the first quarter of 2024, with the majority of costs incurred during the year ended December 31, 2023.
Total restructuring and other exit costs included in the Consolidated Statements of Operations are as follows (in thousands):
 Year Ended  
December 31,
2023
Cost of revenue$5,650 
Marketing3,233 
Product development13,527 
General and administrative4,167 
Total restructuring and other exit costs$26,577 

The following table is a summary of the changes in the Company’s severance and employee-related benefits associated with restructuring and other exit costs, included in accrued expenses in the Consolidated Balance Sheets (in thousands):
Balance as of December 31, 2022$— 
Severance and employee-related benefits26,189 
Cash payments(1,849)
Balance as of December 31, 2023$24,340 
v3.24.0.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Pay vs Performance Disclosure      
Net income (loss) $ 307,568 $ (694,288) $ 493,507
v3.24.0.1
Insider Trading Arrangements
 3 Months Ended 12 Months Ended
Dec. 31, 2023
shares
Dec. 31, 2023
shares
Trading Arrangements, by Individual    
Non-Rule 10b5-1 Arrangement Adopted false  
Rule 10b5-1 Arrangement Terminated false  
Non-Rule 10b5-1 Arrangement Terminated false  
Fred Wilson [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
On November 3, 2023, Fred Wilson, the Chair of our Board of Directors, adopted a trading plan intended to satisfy the affirmative defense of Rule 10b5-1(c) of the Exchange Act (a “10b5-1 Plan”) on behalf of Gotham Gives Inc. and The Solomon Wilson Family Foundation, two entities over which Mr. Wilson shares dispositive power but no pecuniary interest. Under this 10b5-1 Plan an aggregate of up to 31,275 shares of Etsy common stock, consisting of up to 14,000 shares of Etsy common stock gifted by Mr. Wilson to Gotham Gives Inc. and up to 17,275 shares of Etsy common stock gifted by Mr. Wilson to The Solomon Wilson Family Foundation, may be sold. The plan terminates on the earlier of the date all the shares covered by the plan are sold and November 30, 2025.
Name Fred Wilson  
Title Chair of our Board of Directors  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date November 3, 2023  
Arrangement Duration 758 days  
Aggregate Available 31,275 31,275
Josh Silverman [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
On November 3, 2023, Josh Silverman, our Chief Executive Officer and a member of our Board of Directors, adopted a 10b5-1 Plan under which an aggregate of up to 504,376 shares of Etsy common stock to be issued upon exercise of stock options may be sold. The plan terminates on the earlier of the date all the shares covered by the plan are sold and February 2, 2025.
Name Josh Silverman  
Title Chief Executive Officer and a member of our Board of Directors  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date November 3, 2023  
Arrangement Duration 457 days  
Aggregate Available 504,376 504,376
Nicholas Daniel [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement   On November 3, 2023, Nicholas Daniel, our Chief Product Officer, adopted a 10b5-1 Plan under which an aggregate of up to 13,500 shares of Etsy common stock held by Mr. Daniel, excluding shares withheld to satisfy tax withholding obligations, may be sold. The plan terminates on the earlier of the date all the shares covered by the plan are sold and November 15, 2024.
Name Nicholas Daniel  
Title Chief Product Officer  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date November 3, 2023  
Arrangement Duration 378 days  
Aggregate Available 13,500 13,500
Melissa Reiff [Member]    
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement  
On November 15, 2023, Melissa Reiff, a member of our Board of Directors, adopted a 10b5-1 Plan under which an aggregate of up to 23,996 shares of Etsy common stock held by Ms. Reiff, and including up to 16,184 shares to be issued upon exercise of stock options, may be sold. The plan terminates on the earlier of the date all the shares covered by the plan are sold and November 30, 2024.
Name Melissa Reiff  
Title Board of Directors  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date November 15, 2023  
Arrangement Duration 393 days  
Fred Wilson Trading Arrangement, Common Stock, Gotham Gives Inc. [Member] | Fred Wilson [Member]    
Trading Arrangements, by Individual    
Aggregate Available 14,000 14,000
Fred Wilson Trading Arrangement, Common Stock, Solomon Wilson Family Foundation [Member] | Fred Wilson [Member]    
Trading Arrangements, by Individual    
Aggregate Available 17,275 17,275
Melissa Reiff Trading Arrangement, Common Stock [Member] | Melissa Reiff [Member]    
Trading Arrangements, by Individual    
Aggregate Available 23,996 23,996
Melissa Reiff Trading Arrangement, Stock Options [Member] | Melissa Reiff [Member]    
Trading Arrangements, by Individual    
Aggregate Available 16,184 16,184
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Consolidation
Basis of Consolidation
The consolidated financial statements include the accounts of Etsy and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. On July 12, 2021, Etsy acquired all of the issued share capital of Depop Limited (“Depop”) pursuant to a share purchase, and the financial results of Depop have been included in Etsy’s consolidated financial statements from the date of acquisition. On July 2, 2021, Etsy acquired all the outstanding shares of Elo7 Serviços de Informática S.A. (“Elo7”) by means of a merger, and on August 10, 2023, Etsy closed on the sale of the parent holding company of Elo7 to Enjoei S.A., a corporation in Brazil. The financial results of Elo7 have been included in Etsy’s consolidated financial statements from the date of acquisition until August 10, 2023.
Reclassifications
Reclassifications
Certain items in the prior years’ Consolidated Financial Statements have been reclassified to conform to the current year presentation reflected in the Consolidated Financial Statements.
Use of Estimates
Use of Estimates
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires the Company to make estimates and judgments that affect the amounts reported and disclosed in the consolidated financial statements and accompanying notes. Actual results could differ from these estimates and judgments. The accounting estimates that require management’s most subjective judgments include: stock-based compensation; income taxes; business combinations; valuation of goodwill; and leases. As of December 31, 2023, there continues to be significant global macroeconomic and geopolitical uncertainty which may impact the Company’s business, results of operations, and financial condition. As a result, many of the Company’s estimates and judgments require increased judgment and carry a higher degree of variability and volatility. As additional information becomes available, the Company’s estimates may change materially in future periods.
Revenue Recognition
Revenue Recognition
The Company’s revenue is diversified; generated from a mix of marketplace activities and other optional services the Company provides to sellers to help them generate more sales and scale their businesses. Revenues are recognized as the Company transfers control of promised goods or services to sellers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company evaluates whether it is appropriate to recognize revenue on a gross or net basis based upon its evaluation of whether the Company obtains control of the specified goods or services by considering if it is primarily responsible for fulfillment of the promise, has inventory risk, and has the latitude in establishing pricing and selecting suppliers, among other factors. Based on its evaluation of these factors, revenue is recorded either gross or net of costs associated with the transaction. The Company’s revenue is recognized on a gross basis, with the primary exception being shipping label revenue, which is recorded on a net basis. Sales and usage-based taxes are excluded from revenue.
Marketplace revenue: As members of the Etsy.com marketplace, Etsy sellers receive the benefit of marketplace activities, including listing items for sale, completing sales transactions, and payments processing, which represents a single stand-ready performance obligation. Etsy marketplace sellers pay a fixed listing fee of $0.20 for each item listed on Etsy.com, and the listing fee is recognized ratably over a four-month listing period, unless the item is sold or the seller re-lists it, at which time any remaining listing fee is recognized. Listing fees are nonrefundable.
Variable fees include transaction fees and payments processing fees. Etsy marketplace sellers pay a 6.5% transaction fee, which was increased from 5% effective April 11, 2022, for each completed transaction, inclusive of shipping fees charged. The Etsy marketplace charges sellers for Offsite Ads, whereby sellers pay a transaction fee of 12% or 15% of the value of a sale based on the seller’s volume of sales, if such sale is generated from an advertisement placed by Etsy on third-party internet platforms. The corresponding expense is recorded in marketing. Etsy marketplace sellers pay Etsy Payments processing fees, which typically vary between 3.0% and 4.5% of an item’s total sale price, including shipping, plus a flat fee per order that depends on the country in which a seller’s bank account is located, plus an additional transaction fee for foreign currency payments. The transaction fee, Offsite Ads transaction fee, and Etsy Payments processing fees are recognized when the corresponding transaction is consummated, and are recorded net of refunds.
Reverb and Depop marketplace revenue is comprised of seller transaction fees and payments processing fees, which are recognized when the transaction is consummated, and are recorded net of refunds. Reverb and Depop sellers pay a 5% and 10% transaction fee, respectively, for each completed transaction, inclusive of shipping fees charged.
Services revenue: Services revenue is derived from optional services offered to Etsy marketplace sellers, which primarily include on-site advertising and shipping labels. Each service represents an individual obligation that the Company must perform when a seller chooses to use the service.
On-site advertising services consist of cost-per-click fees an Etsy marketplace seller pays for prominent placement of her listings. These fees are nonrefundable and are charged to a seller’s Etsy bill when the listing is clicked, at which time revenue is recognized.
Revenue from shipping labels consists of fees an Etsy marketplace seller pays the Company when they purchase shipping labels through the platform, net of the cost the Company incurs in purchasing those shipping labels. The Company provides its sellers access to purchase shipping labels at discounted pricing due to the volume of purchases through its platform. The Company recognizes shipping label revenue when an Etsy marketplace seller purchases a shipping label. The Company recognizes shipping label revenue on a net basis as it is an agent in this arrangement and does not take control of shipping labels prior to transferring the labels to the Etsy marketplace seller. Etsy shipping label revenue is recorded net of refunds.
The Reverb and Depop marketplaces offer on-site advertising services (Depop as of the end of the third quarter of 2022), and shipping labels services. Each service represents an individual obligation that the Company must perform when a seller chooses to use the service. Shipping label revenue is recorded net of refunds.
Contract balances: The Company records deferred revenue when cash payments are received or due in advance of the completion of the four-month listing period on Etsy.com, which represents the value of the Company’s unsatisfied performance obligations, unless the item is sold or the seller re-lists it, at which time any remaining listing fee is recognized. The amount of revenue recognized in the year ended December 31, 2023 that was included in the deferred balance at January 1, 2023 was $14.0 million.
Cost of Revenue
Cost of revenue primarily consists of the cost of interchange and other fees for payments processing services, and expenses associated with the operation and maintenance of the Company’s platforms, including hosting and bandwidth costs. Cost of revenue also includes chargebacks to support payments revenue and costs of refunds made to buyers that the Company is either not able to collect from sellers or are otherwise covered by us, which the Company collectively refers to as cost of refunds, and seller verification fees. Additionally, cost of revenue includes certain employee compensation-related expenses, depreciation and amortization, and third-party customer support services.
Marketing
Marketing
Marketing expenses primarily consist of direct marketing expenses, which largely includes digital marketing and television ad and digital video expenses. Marketing expenses also include employee compensation-related expenses to support the Company’s marketing initiatives and amortization expense related to acquired customer relationship and trademark intangible assets.
Advertising Advertising expenses are recognized as incurred, with the exception of certain production expenses related to television and display advertising which are deferred until the first time an advertisement airs or is published. If such advertising is not expected to occur, costs are expensed immediately.
Product Development
Product Development
Product development expenses consist primarily of employee compensation-related expenses for engineering, product management, product design, and product research activities, net of costs capitalized to website development and internal-use software. Additional expenses include consulting costs related to the development, quality assurance, and testing of new technology and enhancement of the Company’s existing technology.
Stock-Based Compensation
Stock-Based Compensation
Service-based stock options and restricted stock units (“RSUs”) are awarded to employees and members of the Company’s Board of Directors and performance-based restricted stock units (“PBRSUs”) are awarded to employees. All such awards are measured at fair value at each grant date.
The PBRSUs include financial performance-based restricted stock units (“Financial PBRSUs”) and total shareholder return performance-based restricted stock units (“TSR PBRSUs”), both of which have performance and service vesting requirements. The Company recognizes forfeitures as they occur.
The Company calculates the fair value of stock options on the date of grant using the Black-Scholes option-pricing model and the expense is recognized over the requisite service period. The risk-free rate for periods within the contractual life of the option is based on the U.S. Treasury yield curve in effect at the time of grant. The Company calculates expected volatility based on the historical volatility of Etsy’s stock price observations over a period equivalent to the expected term of the stock option grants. The Company estimates its expected term using historical option exercise behavior and expected post-vest cancellation data, averaged with an assumption that recently granted options will be exercised ratably from vesting to the expiration of the stock option. The fair value of RSUs and Financial PBRSUs is determined based on the closing price of the Company’s common stock on Nasdaq on the grant date. Additionally, the fair value of the Financial PBRSUs takes into consideration a vesting probability assessment as of each reporting date. The fair value of the TSR PBRSUs is determined using a Monte-Carlo simulation model on the grant date.
The requisite service period for both employee stock options and RSUs is generally four years from the grant date, and the requisite service period for board member stock options is one year from the grant date. For PBRSUs, the Company recognizes stock-based compensation expenses on a straight-line basis over the longer of the derived, explicit, or implicit service period. As of interim and annual reporting periods, the Financial PBRSUs stock-based compensation expense is adjusted based on expected achievement of performance targets, while TSR PBRSUs stock-based compensation expense is not adjusted.
Foreign Currency
Foreign Currency
The Company has determined that the functional currency for each of its foreign operations is the currency of the primary cash flow of the operations, which is generally the local currency in the jurisdiction in which the operation is located. All assets and liabilities are translated into U.S. dollars using exchange rates in effect at the balance sheet date. Revenue and expenses are translated using average exchange rates during the period. Foreign currency translation adjustments are reflected in stockholders’ equity (deficit) as a component of other comprehensive income (loss). Transaction gains and losses including intercompany balances denominated in a currency other than the functional currency of the entity involved are included in foreign exchange gain (loss) within other income (expense) in the Consolidated Statements of Operations.
Income Taxes
Income Taxes
The income tax benefit (provision) is based on income before income taxes and is accounted for under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to settle. The Company recognizes future tax benefits, such as net operating losses and tax credits, to the extent that realizing these benefits is considered in its judgment to be more likely than not. The effect on deferred tax assets and liabilities of a change in tax rates is recognized as income or expense in the period that includes the enactment date. The Company regularly reviews the recoverability of its deferred tax assets by considering its historic profitability, projected future taxable income, timing of the reversals of existing temporary differences and the feasibility of its tax planning strategies. Where appropriate, the Company records a valuation allowance against deferred tax assets that are deemed not more likely than not to be realizable.
The Company records tax expense related to Global Intangible Low Taxed Income (“GILTI”) as a current period expense when incurred using the period cost method.
The Company accounts for uncertainty in income taxes using a recognition threshold and a measurement attribute for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by the taxing authorities. The amount recognized is measured as the largest amount of benefit that has a greater than 50% likelihood of being realized upon ultimate audit settlement.
The Company recognizes interest and penalties, if any, associated with income tax matters as part of the income tax provision and includes accrued interest and penalties with the related income tax liability in the Consolidated Balance Sheets.
Net Income (Loss) Per Share
Net Income (Loss) Per Share
Basic net income (loss) per share attributable to common stockholders is computed by dividing the net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period.
Diluted net income (loss) per share is computed by dividing net income (loss) adjusted on an if-converted basis for the period by the weighted-average number of shares of common stock and potentially dilutive common stock outstanding during the period. Potentially dilutive shares, which are based on the weighted-average shares of common stock underlying outstanding stock-based compensation awards and convertible senior notes using the treasury stock method and the if-converted method, respectively, are included when calculating net income (loss) per share of common stock attributable to common stockholders when their effect is dilutive.
The calculation of diluted net income per share excludes all anti-dilutive shares of common stock.
Segment Data
Segment Data
The Company identifies operating segments as components of an entity for which discrete financial information is available and is regularly reviewed by the Chief Operating Decision Maker (“CODM”) in making decisions regarding resource allocation and performance assessment. The Company’s CODM is its Chief Executive Officer. Following the sale of Elo7 in the third quarter of 2023, the Company has determined it has three operating segments, Etsy, Reverb, and Depop, which qualify for aggregation as one reportable segment.
Cash and Cash Equivalents
Cash and Cash Equivalents, and Short- and Long-term Investments
The Company considers all investments with an original maturity of three months or less at time of purchase to be cash equivalents. Cash restricted by third-parties is not considered cash and cash equivalents.
Restricted Cash
The Company classifies any cash balances that are legally restricted as to withdrawal or usage as restricted cash on the Consolidated Balance Sheets.
Short- and Long-term Investments Short-term investments with original maturities of greater than three months but less than one year, are classified as available-for-sale and are reported at fair value using the specific identification method. Long-term investments, other than investments made through the Company’s Impact Investment Fund, with original maturities of greater than twelve months but less than 37 months, are classified as available-for-sale and are reported at fair value using the specific identification method. Unrealized gains and losses are primarily excluded from earnings and reported as a component of other comprehensive income (loss), net of related tax (expense) benefit.
Restricted Cash
Restricted Cash
The Company classifies any cash balances that are legally restricted as to withdrawal or usage as restricted cash on the Consolidated Balance Sheets.
Concentration of Credit Risk
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, short- and long-term investments, and funds receivable and seller accounts. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, to the extent eligible, such amounts may exceed federally insured limits. The Company believes that minimal credit risk exists with respect to these investments due to the credit ratings of the financial institutions that hold its short- and long-term investments. In addition, funds receivable settle relatively quickly, and the Company’s historical experience of losses has not been significant.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
Management believes that the fair value of financial instruments, consisting of cash and cash equivalents, short- and long-term investments (excluding investments made through the Company’s Impact Investment Fund), accounts receivable, funds receivable and seller accounts, accounts payable, and funds payable and amounts due to sellers approximates carrying value due to the immediate or short-term maturity associated with these instruments or the Company’s ability to liquidate these instruments at short notice with minimal penalties.
The 0.25% Convertible Senior Notes due 2028 (the “2021 Notes”), the 0.125% Convertible Senior Notes due 2027 (the “2020 Notes”), and the 0.125% Convertible Senior Notes due 2026 (the “2019 Notes” and together with the 2021 Notes and the 2020 Notes, the “Notes”) are not measured at fair value in the Consolidated Balance Sheets, but the Company estimates the fair value of the Notes through inputs that are observable in the market or that could be derived from observable market data, corroborated with quoted market prices of similar instruments.
Accounts Receivable and Provision for Expected Credit Losses
Accounts Receivable and Provision for Expected Credit Losses
The Company’s trade accounts receivable are recorded at amounts billed to sellers and are presented on the Consolidated Balance Sheets net of the provision for expected credit losses, which consists of bad debt expense. The provision is determined by a number of factors, including age of the receivable, current economic conditions, historical losses, and management’s assessment of the financial condition of sellers. Receivables are written off once they are deemed uncollectible. Estimates of uncollectible accounts receivable are recorded to general and administrative expense.
Payment terms: On the first day of every month, Etsy sellers receive a statement outlining the previous month’s charges. Payment is due within 15 days of the date of the monthly statement. The payment terms for Reverb and Depop are also short-term in nature. For Etsy sellers using Etsy Payments, all charges are deducted from the funds credited to the seller’s shop payment account prior to settlement of those funds to the seller’s bank account.
Funds Receivable and Seller Accounts and Funds Payable and Amounts due to Sellers
Funds Receivable and Seller Accounts and Funds Payable and Amounts due to Sellers
The Company records funds receivable and seller accounts and funds payable and amounts due to sellers as current assets and liabilities, respectively, on the Consolidated Balance Sheets. Funds receivable and seller accounts represent amounts received or expected to be received from buyers via third-party credit card processors, which flow through a bank account for payment to sellers. The amounts recorded to funds receivable and seller accounts is the same amount recorded to the funds payable and amounts due to sellers, the latter of which represents the total amount due to sellers, given the intent to use these funds to settle funds payable to sellers. For the Depop marketplace only, the amounts received from buyers which is owed to the sellers is paid to the sellers at point of sale, and therefore no funds receivable and seller accounts and no funds payable and amounts due to sellers are recorded related to the Depop marketplace.
Property and Equipment
Property and Equipment
Property and equipment, consisting principally of capitalized website development and internal-use software, building, leasehold improvements, and computer equipment, are recorded at cost. Depreciation and amortization begin at the time the asset is placed into service and is recognized using the straight-line method in amounts sufficient to relate the cost of depreciable and amortizable assets to the Consolidated Statements of Operations over their estimated useful lives. Repairs and maintenance are charged to the Consolidated Statements of Operations as incurred. Upon sale or retirement of assets, the cost and related accumulated depreciation or amortization are removed from the Consolidated Balance Sheet and the resulting gain or loss is reflected in the Consolidated Statement of Operations.
Website Development and Internal-use Software Costs
Website Development and Internal-use Software Costs
Costs incurred to develop the Company’s website and software for internal-use are capitalized and amortized over the estimated useful life of the software, generally three to five years. Capitalization of costs to develop software begin when preliminary development efforts are successfully completed, management has authorized and committed project funding, and it is probable that the project will be completed and the software will be used as intended. Costs related to the design or maintenance of website development and internal-use software are expensed as incurred. The Company periodically reviews capitalized website development and internal-use software costs to determine whether the projects will be completed, placed in service, removed from service, or replaced by other internally-developed or third-party software. If an asset is not expected to provide any future use, the asset is retired and any unamortized cost is expensed.
Capitalized website development and internal-use software costs are included in property and equipment, net within the Consolidated Balance Sheets.
Business Combinations
Business Combinations
The Company accounts for business combinations using the acquisition method of accounting. If the assets acquired are not a business, the Company accounts for the transaction as an asset acquisition. Under both methods, the purchase price is allocated to the assets acquired and liabilities assumed using the fair values determined by management as of the acquisition date. The results of businesses acquired in a business combination are included in the Company’s consolidated financial statements from the date of acquisition.
Acquisition-related expenses represent expenses incurred by the Company to effect a business combination, including expenses such as finder’s fees and advisory, legal, accounting, valuation, and other professional or consulting fees, and are not included as a component of consideration transferred, but are accounted for as an expense in the period in which the costs are incurred or the services are rendered.
Goodwill
Goodwill
Goodwill represents the excess of the aggregate fair value of the consideration transferred in a business combination over the fair value of the assets acquired, net of liabilities assumed. Goodwill is allocated to the reporting unit in which the business that created the goodwill resides. A reporting unit is an operating segment for which discrete financial information is prepared and regularly reviewed by segment management. Following the sale of Elo7 in the third quarter of 2023, management has determined that the Company has three operating segments, Etsy, Reverb, and Depop, and each operating segment is determined to be a reporting unit.
The Company performs its annual goodwill impairment test in the fourth quarter, or more frequently if an interim triggering event occurs that may indicate potential impairment. The Company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If, after assessing the totality of events or circumstances, the Company determines it is not more likely than not that the fair value of the reporting unit is less than its carrying amount, then additional impairment testing is not required. If the Company determines that it is more likely than not that the fair value of the reporting unit is less than its carrying amount, then the Company is required to perform a quantitative assessment for impairment. Under the quantitative goodwill impairment test, if a reporting unit’s carrying amount exceeds its fair value, an impairment loss is recognized in an amount equal to the excess, not to exceed the total amount of goodwill allocated to that reporting unit.
See “Note 7—Goodwill and Intangible Assets” for further information.
Intangible Assets
Intangible Assets
Finite intangible assets are amortized using the straight-line method over the estimated useful life of the asset.
Leases
Leases
The Company’s lease arrangements generally include real estate and, to a lesser extent, computer equipment assets. At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present. At lease commencement, the Company evaluates whether the arrangement is a finance or operating lease, and accounts for it accordingly. Operating leases are included in other assets, other current liabilities, and other liabilities on the Company’s Consolidated Balance Sheets. Finance leases are included in property and equipment, net, finance lease obligations, current, and finance lease obligations, net of current portion on the Company’s Consolidated Balance Sheets. 
Leases with a term greater than one year are recognized on the Consolidated Balance Sheets as right-of-use (“ROU”) assets, lease obligations, and, if applicable, long-term lease obligations in the financial statement line items cited above. The Company has elected not to recognize leases with terms of one year or less on the Consolidated Balance Sheets. Lease obligations and their corresponding ROU assets are recorded based on the present value of lease payments over the expected lease term. As the interest rate implicit in lease contracts is typically not readily determinable, the Company utilizes the appropriate incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment. Certain adjustments to the ROU asset may be required for items such as initial direct costs paid or incentives received. The lease term may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option.
The components of a lease are split into three categories: lease components, including land, building, or other similar components; non-lease components, including common area maintenance, maintenance, consumables, or other similar components; and non-components, including property taxes, insurance, or other similar components. However, the Company has elected to combine lease and non-lease components as a single component. The lease expense is recognized over the expected term on a straight-line basis.
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets
The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Recoverability of assets held and used is measured by comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated from the use of the asset and its eventual disposition. If such assets are considered to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount exceeds the fair value of the impaired assets. Assets to be disposed of are reported at the lower of their carrying amount or fair value less cost to sell.
Contingencies
Contingencies
The Company accrues for loss contingencies when losses become probable and are reasonably estimable. If the reasonable estimate of the loss is a range and no amount within the range is a better estimate, the minimum amount of the range is recorded as a liability. The Company does not accrue for contingent losses that, in its judgment, are considered to be reasonably possible, but not probable; however, it discloses the range of such reasonably possible losses.
Recently Issued Accounting Pronouncements
Recently Issued Accounting Pronouncements
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires that a public entity disclose, on an annual and interim basis, significant segment expenses that are regularly provided to the CODM and included within each reported measure of segment profit or loss. Additionally, it requires that a public entity (1) disclose an amount for “other segment items” by reportable segment, (2) provide all annual disclosures about a reportable segment’s profit or loss and assets currently required by Topic 280 in interim periods, and (3) requires that a public entity that has a single reportable segment provide all the disclosures required by the amendments in this proposed ASU and all existing segment disclosures in Topic 280. The new guidance is effective for annual periods beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024. The amendments in this proposed ASU should be applied retrospectively to all prior periods presented in the financial statements. Early adoption is permitted. The Company is currently evaluating the impact that this new guidance will have on its disclosures.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which enhances the transparency and decision usefulness of income tax disclosures. The ASU requires that public business entities on
an annual basis (1) disclose specific categories in the effective tax rate reconciliation and (2) provide additional information for reconciling items that meet or exceed a quantitative threshold. Additionally, it requires all entities disclose the following information about income taxes paid on an annual basis: (1) the year-to-date amounts of income taxes paid disaggregated by federal (national), state, and foreign taxes and (2) the amount of income taxes paid disaggregated by individual jurisdictions in which income taxes paid is equal to or greater than 5 percent of total income taxes paid. The amendments are effective for annual periods beginning after December 15, 2024. The amendments in this proposed ASU should be applied on a prospective basis, although retrospective application to all periods presented is permitted. Early adoption is permitted. The Company is currently evaluating the impact that this new guidance will have on its disclosures.
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Accounts Receivable, Allowance for Credit Loss
The following table provides a rollforward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected (in thousands):
 Year Ended  
December 31,
 202320222021
Balance as of the beginning of period$8,303 $7,730 $9,757 
Provision for expected credit losses19,634 12,464 16,031 
Amounts written off, net of recoveries(17,788)(11,891)(18,058)
Balance as of the end of period$10,149 $8,303 $7,730 
v3.24.0.1
Revenue (Tables)
 12 Months Ended
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following table summarizes revenue disaggregated by Marketplace revenue and optional Services revenue for the periods presented (in thousands):
Year Ended December 31,
202320222021
Marketplace revenue$1,997,190 $1,910,887 $1,745,824 
Services revenue751,187 655,224 583,290 
Revenue$2,748,377 $2,566,111 $2,329,114 
v3.24.0.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Schedule of (Loss) Income before Income Taxes, Domestic and Foreign
The following are the domestic and foreign components of the Company’s income (loss) before income taxes (in thousands):
 Year Ended  
December 31,
 202320222021
United States$167,924 $225,685 $274,354 
International124,896 (887,663)197,300 
Income (loss) before income taxes$292,820 $(661,978)$471,654 
Schedule of Income Tax (Benefit) Provision
The income tax (benefit) provision is comprised of the following (in thousands):
 Year Ended  
December 31,
 202320222021
Current:
U.S. Federal$13,737 $46,700 $23,118 
U.S. State(5,642)16,036 12,754 
International27,243 24,877 31,227 
Total current35,338 87,613 67,099 
Deferred:
U.S. Federal(20,925)(18,753)(53,328)
U.S. State5,176 (7,866)(14,843)
International(34,337)(28,684)(20,781)
Total deferred(50,086)(55,303)(88,952)
Total income tax (benefit) provision$(14,748)$32,310 $(21,853)
Schedule of Reconciliation of the Income Tax (Benefit) Provision
A reconciliation of the income tax (benefit) provision at the U.S. federal statutory income tax rate to the Company’s total income tax (benefit) provision is as follows (in thousands):
 Year Ended  
December 31,
 202320222021
Income tax provision (benefit) at the federal statutory rate$61,492 $(139,015)$99,047 
State and local income taxes, net of federal benefit4,329 10,516 11,134 
Foreign income tax rate differential(40,506)(89,903)(26,215)
Stock-based compensation15,167 (12,863)(83,207)
Research and development credit(19,034)(19,603)(23,396)
U.S. tax on foreign earnings, net of foreign income deduction (1)3,070 3,588 (5,155)
Non-deductible acquisition costs749 1,204 5,643 
Non-deductible goodwill impairment— 274,492 — 
Change in valuation allowance10,285 — (108)
Divestiture of Elo7(55,934)— — 
Other5,634 3,894 404 
Total income tax (benefit) provision$(14,748)$32,310 $(21,853)
(1)Previously disclosed as “U.S. tax reform” for the year ended December 31, 2021.
Significant Components of Deferred Tax Assets and Liabilities Significant components of the Company’s deferred tax assets (liabilities) are as follows (in thousands):
 As of December 31,
 20232022
Deferred tax assets:
 Net operating loss carryforwards $75,967 $66,410 
 Research and development credit carryforwards 3,242 — 
 Capitalized research expenses100,996 63,901 
 Convertible debt 31,583 40,159 
 Depreciation — 7,051 
 Lease liability 32,034 33,253 
 Stock-based compensation expense 25,690 25,151 
 Accrued bonus 10,616 9,478 
 Excess tax basis in intangible assets 2,424 1,924 
 Other deferred tax assets 16,737 13,443 
 Total deferred tax assets 299,289 260,770 
 Less: valuation allowance 4,154 3,524 
 Total net deferred tax asset 295,135 257,246 
 Deferred tax liabilities:
 Excess book basis in intangible assets (118,378)(147,790)
 Right-of-use asset (30,556)(31,864)
 Depreciation (21,105)— 
 Other deferred tax liabilities (512)(821)
Total deferred tax liabilities(170,551)(180,475)
Net deferred tax assets$124,584 $76,771 
Summary of Tax Credit Carryforwards
As of December 31, 2023, the Company had the following tax credit and operating loss carryforwards available to offset income tax liability and taxable income, respectively, in future years (in thousands):
December 31, 2023Expiration Period
U.S. Federal credit carryforwards$1,512 2032-2033
U.S. State net operating loss carryforwards57,072 2031-Unlimited
U.S. State credit carryforwards6,547 2026-Unlimited
Non-U.S. net operating loss carryforwards290,854 Unlimited
Summary of Operating Loss Carryforwards
As of December 31, 2023, the Company had the following tax credit and operating loss carryforwards available to offset income tax liability and taxable income, respectively, in future years (in thousands):
December 31, 2023Expiration Period
U.S. Federal credit carryforwards$1,512 2032-2033
U.S. State net operating loss carryforwards57,072 2031-Unlimited
U.S. State credit carryforwards6,547 2026-Unlimited
Non-U.S. net operating loss carryforwards290,854 Unlimited
Summary of Valuation Allowance
The following table summarizes the valuation allowance activity for the periods indicated (in thousands):
 Year Ended  
December 31,
 202320222021
Balance as of the beginning of period$3,524 $1,834 $1,398 
Additions charged to expense10,960 1,796 580 
Deletions credited to expense(124)— (112)
Currency translation and other balance sheet activity(10,206)(106)(32)
Balance as of the end of period$4,154 $3,524 $1,834 
Schedule of Unrecognized Tax Benefits Activity
The following table summarizes the unrecognized tax benefit activity for the periods indicated (in thousands):
 As of December 31,
 202320222021
Balance as of the beginning of period$35,158 $28,842 $23,738 
Additions based on tax positions related to the current year10,225 5,206 5,024 
Additions for tax positions of prior years6,278 1,754 122 
Reductions for tax provisions of prior years— (509)— 
Lapse of statute of limitations(3)— — 
Settlements— (107)— 
Currency translation15 (28)(42)
Balance as of the end of period$51,673 $35,158 $28,842 
v3.24.0.1
Net Income (Loss) Per Share (Tables)
 12 Months Ended
Dec. 31, 2023
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following table presents the calculation of basic and diluted net income (loss) per share for periods presented (in thousands, except share and per share amounts):
 Year Ended  
December 31,
 202320222021
Numerator:
Net income (loss)$307,568 $(694,288)$493,507 
Add back interest expense, net of tax attributable to assumed conversion of convertible senior notes6,336 — 4,900 
Net income (loss) attributable to common stockholders—diluted$313,904 $(694,288)$498,407 
Denominator:
Weighted average common shares outstanding—basic122,503,366 126,778,626 127,224,974 
Dilutive effect of assumed conversion of options to purchase common stock2,222,294 — 4,149,248 
Dilutive effect of assumed conversion of restricted stock units705,465 — 1,995,336 
Dilutive effect of assumed conversion of convertible senior notes14,714,281 — 13,313,766 
Weighted average common shares outstanding—diluted140,145,406 126,778,626 146,683,324 
Net income (loss) per share attributable to common stockholders—basic$2.51 $(5.48)$3.88 
Net income (loss) per share attributable to common stockholders—diluted$2.24 $(5.48)$3.40 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The following potential shares of common stock were excluded from the calculation of diluted net income (loss) per share attributable to common stockholders because their effect would have been anti-dilutive for the periods presented:
 Year Ended  
December 31,
 202320222021
Stock options174,655 3,127,333 149,683 
Restricted stock units4,719,187 5,081,194 584,033 
Convertible senior notes— 14,715,935 — 
Total anti-dilutive securities4,893,842 22,924,462 733,716 
v3.24.0.1
Business Combinations (Tables)
 12 Months Ended
Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]  
Schedule of Purchase Price Allocation
The following table summarizes the allocation of the purchase price (at fair value), including measurement period adjustments, to the assets acquired and liabilities assumed of Depop as of July 12, 2021 (the date of acquisition) (in thousands):
Final Purchase Price Allocation as AdjustedEstimated Useful Life (in years)
Current assets$4,288 
Property and equipment other1,299 
2-5
Developed technology95,764 5
Trademark249,820 20
Customer relationships148,504 13
Goodwill1,118,855 Indefinite
Current liabilities(18,878)
Non-current liabilities (1)(27,957)
Deferred tax liability, net(78,872)
Total purchase price$1,492,823 
(1)Non-current liabilities are primarily related to non-income tax related contingency reserves.
The following table summarizes the allocation of the purchase price (at fair value), including measurement period adjustments, to the assets acquired and liabilities assumed of Elo7 as of July 2, 2021 (the date of acquisition) (in thousands):
Final Purchase Price Allocation as AdjustedEstimated Useful Life (in years)
Current assets$2,721 
Developed technology12,084 5
Trademark22,187 15
Customer relationships44,374 15
Goodwill157,187 Indefinite
Non-current assets2,412 
Current liabilities(3,406)
Non-current liabilities(2,691)
Deferred tax liability, net(22,727)
Total purchase price$212,141 
Schedule of Unaudited Supplemental Pro Forma Information
The following unaudited pro forma summary presents consolidated information of the Company, including Depop and Elo7, as if the business combinations had occurred on January 1, 2020 (in thousands):
Year Ended December 31,
2021
Revenue$2,373,592 
Net income492,732 
v3.24.0.1
Goodwill and Intangible Assets (Tables)
 12 Months Ended
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
The following table summarizes the changes in the carrying amount of goodwill for the periods indicated (in thousands):
Year Ended  
December 31,
20232022
Balance as of the beginning of the period$137,724 $1,371,064 
Impairment— (1,045,022)
Foreign currency translation adjustments653 (188,318)
Balance as of the end of the period$138,377 $137,724 
Schedule of Finite-Lived Intangible Assets
At December 31, 2023 and 2022, the gross book value and accumulated amortization of intangible assets were as follows (in thousands):
 As of December 31, 2023
 Gross book
value		Accumulated
amortization		Net book
value		Weighted-Average
Remaining Life (in years)
Trademark$308,583 $(51,328)$257,255 16.0
Customer relationships229,737 (53,034)176,703 10.6
Referral agreement35,135 (19,393)15,742 4.5
Patent licenses9,617 (2,177)7,440 9.2
Intangible assets$583,072 $(125,932)$457,140 13.4
 As of December 31, 2022
 Gross book
value		Accumulated
amortization		Net book
value		Weighted-Average
Remaining Life (in years)
Trademark$318,489 $(35,873)$282,616 16.7
Customer relationships265,429 (39,808)225,621 11.9
Referral agreement34,050 (15,404)18,646 5.5
Patent licenses9,617 (1,094)8,523 9.9
Intangible assets$627,585 $(92,179)$535,406 14.2
Schedule of Future Amortization Expense
Based on amounts recorded at December 31, 2023, the Company estimates future amortization expense of intangible assets as follows (in thousands):
2024$38,079 
202538,080 
202637,758 
202737,690 
202835,680 
Thereafter269,853 
Total amortization expense$457,140 
v3.24.0.1
Segment and Geographic Information (Tables)
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Revenue from External Customers by Geographic Areas The following table summarizes revenue by geographic area (in thousands):
 Year Ended  
December 31,
 202320222021
United States$1,472,677 $1,429,650 $1,393,637 
United Kingdom 347,889 343,788 329,203 
All Other927,811 792,673 606,274 
Revenue$2,748,377 $2,566,111 $2,329,114 
Schedule of Tangible Long-Lived Assets
The following table summarizes tangible long-lived assets by geographic area (in thousands):
As of December 31,
20232022
United States$153,826 $165,529 
All Other21,432 9,792 
Long-lived assets $175,258 $175,321 
v3.24.0.1
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Schedule of Major Categories of Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following table sets forth the cost, gross unrealized losses, gross unrealized gains, and fair values of the Company’s investments as of the dates indicated (in thousands):
CostGross
Unrealized
Holding Loss		Gross
Unrealized
Holding Gain		Fair ValueCash and Cash EquivalentsShort-term InvestmentsLong-term Investments
December 31, 2023
Level 1
Money market funds (1)$377,021 $— $— $377,021 $376,941 $80 $— 
U.S. Government securities95,298 (164)39 95,173 — 60,153 35,020 
472,319 (164)39 472,194 376,941 60,233 35,020 
Level 2
U.S. agency securities15,635 (14)3 15,624 — 15,624 — 
Certificate of deposit35,365 (1)55 35,419 — 35,419 — 
Commercial paper62,463 (12)54 62,505 4,449 58,056 — 
Corporate bonds100,386 (145)128 100,369 1,566 66,786 32,017 
213,849 (172)240 213,917 6,015 175,885 32,017 
Level 3
Loans receivable - held for investment6,000 — — 6,000 — — 6,000 
6,000 — — 6,000 — — 6,000 
$692,168 $(336)$279 $692,111 $382,956 $236,118 $73,037 
Measured at NAV (2)
Third-party managed funds$13,639 
$86,676 
December 31, 2022
Level 1
Money market funds (1)$462,866 $— $— $462,866 $374,314 $76 $— 
U.S. Government securities64,968 (424)4 64,548 2,995 61,553 — 
527,834 (424)4 527,414 377,309 61,629 — 
Level 2
U.S. agency securities10,053 (1)3 10,055 — 10,055 — 
Certificate of deposit40,915 (184)7 40,738 5,471 35,267 — 
Commercial paper57,777 (101)18 57,694 4,454 53,240 — 
Corporate bonds122,294 (1,729)6 120,571 1,212 90,222 29,137 
231,039 (2,015)34 229,058 11,137 188,784 29,137 
$758,873 $(2,439)$38 $756,472 $388,446 $250,413 $29,137 
(1)There were no money market funds classified as funds receivable and seller accounts as of December 31, 2023. $88.5 million of money market funds were classified as funds receivable and seller accounts as of December 31, 2022.
(2)Third-party managed funds measured on the NAV basis have not been categorized in the fair value hierarchy. The amount presented in the table is intended to permit reconciliation of the long-term investments in the fair value hierarchy to the amount presented in the Consolidated Balance Sheet.
Schedule of Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value
The table below shows the gross unrealized loss and fair value of the following investments in available-for-sale debt securities that are classified by the length of time that the securities have been in a continuous unrealized loss position as of the dates
indicated (in thousands):
 Gross
Unrealized
Holding
Loss		Fair Value
December 31, 2023
Less than 12 months in a continuous unrealized loss position
U.S. agency securities
$(14)$12,569 
Certificate of deposit
(1)7,178 
Commercial paper
(12)34,066 
Corporate bonds(73)28,401 
U.S. Government securities(164)71,536 
$(264)$153,750 
12 months or longer in a continuous unrealized loss position
Corporate bonds$(72)$20,808 
$(72)$20,808 
December 31, 2022
Less than 12 months in a continuous unrealized loss position
Corporate bonds$(281)$70,469 
U.S. Government securities(265)51,075 
$(546)$121,544 
12 months or longer in a continuous unrealized loss position
Corporate bonds$(1,448)$50,102 
U.S. Government securities(159)7,442 
$(1,607)$57,544 
Schedule of Estimated Fair Value Liability Component The following table presents the carrying value and estimated fair value of the Notes as of the dates indicated (in thousands):
As of December 31, 2023As of December 31, 2022
Carrying ValueFair ValueCarrying ValueFair Value
2021 Notes$991,529 $799,000 $989,629 $863,300 
2020 Notes645,624 556,790 644,431 646,230 
2019 Notes646,664 747,630 645,536 998,361 
2018 Notes— — 44 145 
$2,283,817 $2,103,420 $2,279,640 $2,508,036 
v3.24.0.1
Property and Equipment (Tables)
 12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment
Property and equipment consisted of the following as of the dates indicated (in thousands):
  As of December 31,
 Estimated useful lives20232022
Computer equipment3 years$15,534 $12,820 
Furniture and equipment
2 - 4 years
14,011 11,398 
Leasehold improvementsShorter of life of asset or lease term62,220 56,095 
Construction in progressNot applicable— 419 
BuildingLease term133,063 133,063 
Website development and internal-use software
3 - 5 years
269,018 240,138 
493,846 453,933 
Less: Accumulated depreciation and amortization244,052 204,189 
$249,794 $249,744 
v3.24.0.1
Leases (Tables)
 12 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Schedule of Lease Expense, Weighted Averages and Supplemental Cash Flow Information
For the years ended December 31, 2023, 2022, and 2021, the elements of lease expense were as follows (in thousands): 
Year Ended  
December 31,
202320222021
Operating lease cost$6,832 $8,251 $6,320 
Finance lease cost:
Amortization of right-of-use assets6,809 7,174 9,139 
Interest on lease liabilities5,190 5,392 3,044 
Total finance lease cost11,999 12,566 12,183 
Other lease cost, net (1)1,385 1,220 1,193 
Total lease cost$20,216 $22,037 $19,696 
(1)Other lease cost, net includes short-term lease costs and variable lease costs.
The following table presents the lease-related assets and liabilities recorded on the Consolidated Balance Sheets (in thousands):
As of December 31,
20232022
Operating leases:
Other assets$42,153 $38,784 
Other current liabilities$4,939 $4,233 
Other liabilities41,105 38,085 
Total operating lease liabilities$46,044 $42,318 
Finance leases:
Property and equipment, net$95,381 $102,169 
Finance lease obligations—current$6,079 $4,731 
Finance lease obligations—net of current portion99,620 105,699 
Total finance lease liabilities$105,699 $110,430 

The following table summarizes the weighted average remaining lease term and weighted average discount rate as of December 31, 2023 and 2022:
As of December 31,
20232022
Weighted average remaining lease term:
Operating leases13.47 years14.54 years
Finance leases15.56 years16.49 years
Weighted average discount rate:
Operating leases4.40 %4.54 %
Finance leases4.73 %4.73 %
Schedule of Cash Flow Activities, Lessee
Supplemental cash flow information related to leases was as follows (in thousands):
Year Ended  
December 31,
202320222021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used in operating leases$(6,482)$(7,871)$(6,442)
Operating cash flows used in finance leases(5,174)(5,387)(3,025)
Finance cash flows used in finance leases(6,278)(6,307)(8,864)
Schedule of Future Minimum Operating Lease Payments
Future minimum lease payments under non-cancelable leases as of December 31, 2023 were as follows (in thousands):
Operating LeasesFinance Leases
2024$6,549 $10,115 
20256,565 10,760 
20261,855 100 
20271,310 882 
20284,300 10,593 
Thereafter42,717 124,404 
Total future minimum lease payments (1)63,296 156,854 
Less:
Imputed interest17,252 51,155 
Total$46,044 $105,699 
(1)In the fourth quarter of 2021, the Company entered into a First Amendment to Lease (the “First Amendment”) related to the Company’s corporate headquarters in Brooklyn, New York, a portion of which is accounted for as a finance lease and a portion as an operating lease. The First Amendment extended the expiration of the term of the lease from July 31, 2026 to July 31, 2039. The First Amendment includes a tenant allowance, a portion of which became available beginning in April 2022, rent concessions that become available beginning in 2026, and escalating commitments each contract year between 2028 and 2038, which are reflected in the future minimum lease payments.
Schedule of Future Minimum Finance Lease Payments
Future minimum lease payments under non-cancelable leases as of December 31, 2023 were as follows (in thousands):
Operating LeasesFinance Leases
2024$6,549 $10,115 
20256,565 10,760 
20261,855 100 
20271,310 882 
20284,300 10,593 
Thereafter42,717 124,404 
Total future minimum lease payments (1)63,296 156,854 
Less:
Imputed interest17,252 51,155 
Total$46,044 $105,699 
(1)In the fourth quarter of 2021, the Company entered into a First Amendment to Lease (the “First Amendment”) related to the Company’s corporate headquarters in Brooklyn, New York, a portion of which is accounted for as a finance lease and a portion as an operating lease. The First Amendment extended the expiration of the term of the lease from July 31, 2026 to July 31, 2039. The First Amendment includes a tenant allowance, a portion of which became available beginning in April 2022, rent concessions that become available beginning in 2026, and escalating commitments each contract year between 2028 and 2038, which are reflected in the future minimum lease payments.
v3.24.0.1
Accrued Expenses (Tables)
 12 Months Ended
Dec. 31, 2023
Payables and Accruals [Abstract]  
Schedule of Accrued Liabilities
Accrued expenses consisted of the following as of the dates indicated (in thousands):
As of December 31,
20232022
Pass-through marketplace tax collection obligation$126,284 $129,591 
Vendor accruals120,804 127,791 
Employee compensation-related liabilities (1)95,842 63,718 
Taxes payable10,623 10,134 
Total accrued expenses$353,553 $331,234 
(1)December 31, 2023 includes severance and employee-related benefits associated with restructuring and other exit costs. See “Note 17—Restructuring and Other Exit Costs” for more information.
v3.24.0.1
Debt (Tables)
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Schedule of Debt
The following table presents the outstanding principal amount and carrying value of the Notes as of the dates indicated (in thousands):
As of December 31, 2023
2021 Notes2020 Notes2019 Notes2018 NotesTotal
Principal$1,000,000 $650,000 $649,887 $— $2,299,887 
Unamortized debt issuance costs8,471 4,376 3,223 — 16,070 
Net carrying value$991,529 $645,624 $646,664 $— $2,283,817 
As of December 31, 2022
2021 Notes2020 Notes2019 Notes2018 NotesTotal
Principal$1,000,000 $650,000 $649,932 $44 $2,299,976 
Unamortized debt issuance costs10,371 5,569 4,396 — 20,336 
Net carrying value$989,629 $644,431 $645,536 $44 $2,279,640 
Schedule of Maturities of Convertible Notes
The terms of the Notes are summarized below:
Convertible NotesMaturity DateContractual Convertibility Date (1)Initial Conversion Rate per $1,000 Principal (2)Initial Conversion PriceAnnual Effective Interest Rate
2021 NotesJune 15, 2028February 15, 20284.0518 $246.80 0.4 %
2020 NotesSeptember 1, 2027May 1, 20275.0007 199.97 0.3 %
2019 NotesOctober 1, 2026June 1, 202611.4040 87.69 0.3 %
2018 Notes
March 1, 2023November 1, 202227.5691 36.27 — %
(1)Based on the daily closing prices of the Company’s stock during the quarter ended December 31, 2023, holders of the 2021 Notes, 2020 Notes, and 2019 Notes are not eligible to convert their 2021 Notes, 2020 Notes, and remaining 2019 Notes, respectively, during the first quarter of 2024.
(2)The initial conversion rate will be subject to adjustment upon the occurrence of certain specified events, including certain distributions and dividends to all or substantially all of the holders of the Company’s common stock.
Schedule of Interest Expense
Interest expense, which consists of coupon interest and amortization of debt issuance costs, related to each of the Notes for the periods presented below was as follows (in thousands):

Year Ended  
December 31,

202320222021
2021 Notes$4,400 $4,400 $2,411 
2020 Notes2,006 2,006 2,006 
2019 Notes1,985 1,985 1,985 
2018 Notes— — 44 
Total interest expense
$8,391 $8,391 $6,446 
Schedule of Capped Call Transactions
The initial terms of the Company’s Capped Call Transactions are presented below:
Capped Call TransactionsMaturity DateInitial Cap Price per ShareCap Price Premium
2021 Capped Call TransactionsJune 15, 2028$340.42 100 %
2020 Capped Call TransactionsSeptember 1, 2027327.83150 %
2019 Capped Call TransactionsOctober 1, 2026148.63150 %
v3.24.0.1
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]  
Summary of Purchase Obligations
The Company’s future payments under purchase obligations as of December 31, 2023 were as follows (in thousands):
Purchase Obligations
Periods ending
2024$134,245 
2025191,547 
202695,000 
Thereafter— 
Total purchase obligations$420,792 
v3.24.0.1
Stockholders' (Deficit) Equity (Tables)
 12 Months Ended
Dec. 31, 2023
Equity [Abstract]  
Summary of Activity of Shares Repurchases
The following table summarizes the Company’s cumulative stock repurchase activity under the programs noted above (in thousands, except share and per share amounts):
Shares RepurchasedAverage Price Paid per Share (1)
Repurchases of common stock for the year ended December 31, 20236,879,844 83.86
Repurchases of common stock for the year ended December 31, 20223,958,155 107.56 
Repurchases of common stock for the year ended December 31, 2021554,718 221.33 
(1)Average price paid per share excludes broker commissions and excise tax.
v3.24.0.1
Stock-based Compensation (Tables)
 12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions
The fair value of options granted in the periods indicated using the Black-Scholes pricing model has been based on the following assumptions:
 Year Ended  
December 31,
 202320222021
Expected Volatility
63.3%
62.5%
43.4% - 57.4%
Risk-free interest rate
4.1%
3.4%
0.8% - 1.2%
Expected term (in years)
4.5
4.6
4.6 - 6.2
Schedule of Share-based Compensation, Stock Options, Activity
The following table summarizes the activity for the Company’s options (in thousands, except share and per share amounts):
SharesWeighted-Average
Exercise Price		Weighted-Average
Remaining Contract
Term (in years)		Aggregate
Intrinsic Value
Outstanding at December 31, 20205,099,952 $20.97 6.81$800,453 
Granted198,193 218.93 
Exercised(994,456)22.83 
Forfeited/Canceled(29,964)47.86 
Outstanding at December 31, 20214,273,725 29.52 5.99810,321 
Granted9,916 76.05 
Exercised(816,620)18.40 
Forfeited/Canceled(10,704)126.22 
Outstanding at December 31, 20223,456,317 31.99 5.06322,230 
Granted8,131 95.06 
Exercised(623,161)22.83 
Forfeited/Canceled(65,356)123.29 
Outstanding at December 31, 20232,775,931 32.08 4.03158,476 
Total exercisable at December 31, 20232,650,630 27.44 3.89156,256 
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value
The following table summarizes the weighted-average grant date fair value of options granted, intrinsic value of options exercised and fair value of awards vested in periods indicated (in thousands, except per share amounts):
 Year Ended December 31,
 202320222021
Weighted average grant date fair value of options granted$51.65 $40.84 $95.00 
Intrinsic value of options exercised44,266 87,892 206,709 
Fair value of awards vested278,537 195,929 96,592 
Summary of the Activity of Unvested RSUs
The following table summarizes the activity for the Company’s unvested RSUs, which includes Financial PBRSUs and TSR PBRSUs:
SharesWeighted-Average
Fair Value
Unvested at December 31, 20203,085,987 $50.28 
Granted (1)2,136,685 208.84
Vested(1,400,241)59.80
Forfeited/Canceled(315,710)108.22
Unvested at December 31, 20213,506,721 137.87
Granted 5,226,948 119.83
Vested(1,670,084)110.53
Forfeited/Canceled(669,799)154.06
Unvested at December 31, 20226,393,786 128.37
Granted3,644,341 100.24
Vested(2,350,706)114.95
Forfeited/Canceled(1,490,623)127.68
Unvested at December 31, 20236,196,798 117.14
(1)Includes RSU awards issued to Depop and Elo7 employees in connection with the acquisitions in the third quarter of 2021.
Schedule of Share-based Compensation, Allocation of Recognized Period Costs
Stock-based compensation expense included in the Consolidated Statements of Operations is as follows (in thousands):
 Year Ended  
December 31,
 202320222021
Cost of revenue$31,246 $23,283 $13,085 
Marketing22,784 19,571 11,339 
Product development146,017 124,559 58,900 
General and administrative84,511 63,475 56,586 
Stock-based compensation expense$284,558 $230,888 $139,910 
v3.24.0.1
Restructuring and Other Exit Costs (Tables)
 12 Months Ended
Dec. 31, 2023
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring and Other Exit Costs
Total restructuring and other exit costs included in the Consolidated Statements of Operations are as follows (in thousands):
 Year Ended  
December 31,
2023
Cost of revenue$5,650 
Marketing3,233 
Product development13,527 
General and administrative4,167 
Total restructuring and other exit costs$26,577 

The following table is a summary of the changes in the Company’s severance and employee-related benefits associated with restructuring and other exit costs, included in accrued expenses in the Consolidated Balance Sheets (in thousands):
Balance as of December 31, 2022$— 
Severance and employee-related benefits26,189 
Cash payments(1,849)
Balance as of December 31, 2023$24,340 
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Revenue Recognition (Details)
$ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Apr. 10, 2022
Dec. 31, 2022
Dec. 31, 2023
USD ($)
$ / item
Disaggregation of Revenue [Line Items]      
Revenue recognized in the period | $     $ 14.0
Marketplace Revenue      
Disaggregation of Revenue [Line Items]      
Listing fee per item | $ / item     0.20
Period over which listing fee is recognized     4 months
Fee for each completed transaction, percent 5.00% 6.50%  
Marketplace Revenue | Reverb      
Disaggregation of Revenue [Line Items]      
Fee for each completed transaction, percent     5.00%
Marketplace Revenue | Depop      
Disaggregation of Revenue [Line Items]      
Fee for each completed transaction, percent     10.00%
Offsite Advertising | Minimum      
Disaggregation of Revenue [Line Items]      
Direct checkout fees, percent     12.00%
Offsite Advertising | Maximum      
Disaggregation of Revenue [Line Items]      
Direct checkout fees, percent     15.00%
Etsy Payments Processing Fees | Minimum      
Disaggregation of Revenue [Line Items]      
Direct checkout fees, percent     3.00%
Etsy Payments Processing Fees | Maximum      
Disaggregation of Revenue [Line Items]      
Direct checkout fees, percent     4.50%
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Marketing (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]      
Advertising expense $ 624.3 $ 581.1 $ 559.3
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Stock-Based Compensation (Details)
 12 Months Ended
Dec. 31, 2023
Stock options  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award requisite service period 4 years
Stock options | Board of Directors  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award requisite service period 1 year
Stock options | Employee  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award requisite service period 4 years
Restricted stock units  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award requisite service period 4 years
Restricted stock units | Employee  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award requisite service period 4 years
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Segment Data (Details) - segment
 5 Months Ended 12 Months Ended
Dec. 31, 2023
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Number of operating segments 3 3
Number of reportable segments   1
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Cash, Cash Equivalents and Short- and Long-term Investments (Details)
Dec. 31, 2023
Weighted Average  
Debt Securities, Available-for-sale [Line Items]  
Available-for-sale debt securities, investment maturity 12 months
Maximum  
Debt Securities, Available-for-sale [Line Items]  
Available-for-sale debt securities, investment maturity 37 months
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Restricted Cash (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Restricted Cash and Cash Equivalents Items [Line Items]        
Restricted cash $ 0 $ 5,341 $ 5,341 $ 5,341
Standby Letters of Credit | Credit Agreement        
Restricted Cash and Cash Equivalents Items [Line Items]        
Line of credit, maximum borrowing capacity $ 5,300      
Office Building        
Restricted Cash and Cash Equivalents Items [Line Items]        
Restricted cash   $ 5,300    
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Fair Value of Financial Instruments (Details) - Convertible Debt
Jun. 30, 2021
Aug. 31, 2020
Sep. 30, 2019
2020 Notes      
Debt Instrument [Line Items]      
Debt instrument, interest rate, stated percentage   0.125%  
2019 Notes      
Debt Instrument [Line Items]      
Debt instrument, interest rate, stated percentage     0.125%
2021 Notes      
Debt Instrument [Line Items]      
Debt instrument, interest rate, stated percentage 0.25%    
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Summary of Allowance Activity (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Balance as of the beginning of period $ 8,303 $ 7,730 $ 9,757
Provision for expected credit losses 19,634 12,464 16,031
Amounts written off, net of recoveries (17,788) (11,891) (18,058)
Balance as of the end of period $ 10,149 $ 8,303 $ 7,730
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Website Development and Internal-use Software Costs (Details) - Developed technology
Dec. 31, 2023
Minimum  
Property, Plant and Equipment [Line Items]  
Estimated useful lives 3 years
Maximum  
Property, Plant and Equipment [Line Items]  
Estimated useful lives 5 years
v3.24.0.1
Basis of Presentation and Summary of Significant Accounting Policies - Goodwill and Impairment of Long-Lived Assets (Details)
$ in Millions
 3 Months Ended 5 Months Ended 12 Months Ended
Sep. 30, 2022
USD ($)
Dec. 31, 2023
segment
Dec. 31, 2023
segment
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Finite-Lived Intangible Assets [Line Items]          
Number of operating segments | segment   3 3    
Number of reportable segments | segment     1    
Impairment of finite-lived intangible assets and other long-lived assets | $       $ 0.0 $ 0.0
Depop          
Finite-Lived Intangible Assets [Line Items]          
Impairment of finite-lived intangible assets and other long-lived assets | $ $ 0.0        
v3.24.0.1
Revenue (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Disaggregation of Revenue [Line Items]      
Revenue $ 2,748,377 $ 2,566,111 $ 2,329,114
Marketplace revenue      
Disaggregation of Revenue [Line Items]      
Revenue 1,997,190 1,910,887 1,745,824
Services revenue      
Disaggregation of Revenue [Line Items]      
Revenue $ 751,187 $ 655,224 $ 583,290
v3.24.0.1
Income Taxes - Domestic and Foreign Components of Income Before Income Taxes (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]      
United States $ 167,924 $ 225,685 $ 274,354
International 124,896 (887,663) 197,300
Income (loss) before income taxes $ 292,820 $ (661,978) $ 471,654
v3.24.0.1
Income Taxes - Income Tax Benefit (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Current:      
U.S. Federal $ 13,737 $ 46,700 $ 23,118
U.S. State (5,642) 16,036 12,754
International 27,243 24,877 31,227
Total current 35,338 87,613 67,099
Deferred:      
U.S. Federal (20,925) (18,753) (53,328)
U.S. State 5,176 (7,866) (14,843)
International (34,337) (28,684) (20,781)
Total deferred (50,086) (55,303) (88,952)
Total income tax (benefit) provision $ (14,748) $ 32,310 $ (21,853)
v3.24.0.1
Income Taxes - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Income Tax Disclosure [Abstract]        
Income tax (benefit) provision $ (14,748) $ 32,310 $ (21,853)  
Effective income tax rate (5.00%) (4.90%) (4.60%)  
Unrecognized tax benefits $ 51,673 $ 35,158 $ 28,842 $ 23,738
Unrecognized tax benefits that would impact effective tax rate favorably 49,900      
Reduction of gross unrecognized tax benefits that is reasonably possible in the next 12 months $ 7,800      
v3.24.0.1
Income Taxes - Reconciliation of the Income Tax Benefit at the U.S. Federal Statutory Income Tax Rate (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]      
Income tax provision (benefit) at the federal statutory rate $ 61,492 $ (139,015) $ 99,047
State and local income taxes, net of federal benefit 4,329 10,516 11,134
Foreign income tax rate differential (40,506) (89,903) (26,215)
Stock-based compensation 15,167 (12,863) (83,207)
Research and development credit (19,034) (19,603) (23,396)
U.S. tax on foreign earnings, net of foreign income deduction 3,070 3,588 (5,155)
Non-deductible acquisition costs 749 1,204 5,643
Non-deductible goodwill impairment 0 274,492 0
Change in valuation allowance 10,285 0 (108)
Divestiture of Elo7 (55,934) 0 0
Other 5,634 3,894 404
Total income tax (benefit) provision $ (14,748) $ 32,310 $ (21,853)
v3.24.0.1
Income Taxes - Significant Component of Deferred Tax Assets (Liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Deferred tax assets:    
Net operating loss carryforwards $ 75,967 $ 66,410
Research and development credit carryforwards 3,242 0
Capitalized research expenses 100,996 63,901
Convertible debt 31,583 40,159
Depreciation 0 7,051
Lease liability 32,034 33,253
Stock-based compensation expense 25,690 25,151
Accrued bonus 10,616 9,478
Excess tax basis in intangible assets 2,424 1,924
Other deferred tax assets 16,737 13,443
Total deferred tax assets 299,289 260,770
Less: valuation allowance 4,154 3,524
Total net deferred tax asset 295,135 257,246
Deferred tax liabilities:    
Excess book basis in intangible assets (118,378) (147,790)
Right-of-use asset (30,556) (31,864)
Depreciation (21,105) 0
Other deferred tax liabilities (512) (821)
Total deferred tax liabilities (170,551) (180,475)
Net deferred tax assets $ 124,584 $ 76,771
v3.24.0.1
Income Taxes - Summary of Tax Credit Carryforwards and Operating Loss Carryforwards (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Domestic Tax Authority  
Operating Loss Carryforwards [Line Items]  
Tax credit carryforwards $ 1,512
State and Local Jurisdiction  
Operating Loss Carryforwards [Line Items]  
Tax credit carryforwards 6,547
Operating loss carryforwards 57,072
Foreign Tax Authority  
Operating Loss Carryforwards [Line Items]  
Operating loss carryforwards $ 290,854
v3.24.0.1
Income Taxes - Summary of Valuation Allowance Activity (Details) - Valuation Allowance of Deferred Tax Assets - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Balance as of the beginning of period $ 3,524 $ 1,834 $ 1,398
Additions charged to expense 10,960 1,796 580
Deletions credited to expense (124) 0 (112)
Currency translation and other balance sheet activity (10,206) (106) (32)
Balance as of the end of period $ 4,154 $ 3,524 $ 1,834
v3.24.0.1
Income Taxes - Summary of Unrecognized Tax Benefits Activity (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]      
Balance as of the beginning of period $ 35,158 $ 28,842 $ 23,738
Additions based on tax positions related to the current year 10,225 5,206 5,024
Additions for tax positions of prior years 6,278 1,754 122
Reductions for tax provisions of prior years 0 (509) 0
Lapse of statute of limitations (3) 0 0
Settlements 0 (107) 0
Currency translation 15    
Currency translation   (28) (42)
Balance as of the end of period $ 51,673 $ 35,158 $ 28,842
v3.24.0.1
Net Income (Loss) Per Share - Calculation of Basic and Diluted Net Income Per Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Numerator:      
Net income (loss) $ 307,568 $ (694,288) $ 493,507
Add back interest expense, net of tax attributable to assumed conversion of convertible senior notes 6,336 0 4,900
Net income (loss) attributable to common stockholders—diluted $ 313,904 $ (694,288) $ 498,407
Denominator:      
Weighted average common shares outstanding—basic (in shares) 122,503,366 126,778,626 127,224,974
Weighted average common shares outstanding—diluted (in shares) 140,145,406 126,778,626 146,683,324
Net income (loss) per share attributable to common stockholders—basic (in dollars per shares) $ 2.51 $ (5.48) $ 3.88
Net income (loss) per share attributable to common stockholders—diluted (in dollars per share) $ 2.24 $ (5.48) $ 3.40
Common Stock      
Denominator:      
Dilutive effect of assumed conversion (in shares) 2,222,294 0 4,149,248
Restricted stock units      
Denominator:      
Dilutive effect of assumed conversion (in shares) 705,465 0 1,995,336
Convertible senior notes      
Denominator:      
Dilutive effect of assumed conversion of convertible senior notes 14,714,281 0 13,313,766
v3.24.0.1
Net Income (Loss) Per Share - Summary of Shares Excluded from the Calculation of Diluted Net Income Per Share (Details) - shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of earnings per share (in shares) 4,893,842 22,924,462 733,716
Stock options      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of earnings per share (in shares) 174,655 3,127,333 149,683
Restricted stock units      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of earnings per share (in shares) 4,719,187 5,081,194 584,033
Convertible senior notes      
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]      
Anti-dilutive securities excluded from computation of earnings per share (in shares) 0 14,715,935 0
v3.24.0.1
Net Income (Loss) Per Share - Narrative (Details) - Convertible Debt - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2021
Dec. 31, 2020
Dec. 31, 2023
Dec. 31, 2022
Mar. 31, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]          
Principal     $ 2,299,887 $ 2,299,976  
2018 Notes          
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]          
Principal         $ 345,000
Debt instrument conversion amount $ 43,900 $ 301,100      
v3.24.0.1
Business Combinations - Narrative (Details) - USD ($)
$ in Thousands
 6 Months Ended 12 Months Ended
Jul. 12, 2021
Jul. 02, 2021
Dec. 31, 2021
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Business Acquisition [Line Items]            
Cash consideration paid       $ 0 $ 0 $ 1,699,974
Revenue       2,748,377 2,566,111 2,329,114
Net loss       (307,568) 694,288 (493,507)
Depop            
Business Acquisition [Line Items]            
Fair value of consideration transferred $ 1,493,000          
Cash consideration paid 1,489,000          
Precombination service awards, replacement awards $ 4,800          
Elo7            
Business Acquisition [Line Items]            
Fair value of consideration transferred   $ 212,100        
Cash consideration paid   211,300        
Precombination service awards, replacement awards   $ 800        
Depop And Elo7            
Business Acquisition [Line Items]            
Revenue     $ 36,700      
Net loss     $ 59,100      
Acquisition-related expenses       $ 1,200 $ 2,800 36,700
Pro forma net loss           (492,732)
Depop And Elo7 | Acquisition-related Costs            
Business Acquisition [Line Items]            
Pro forma net loss           $ 60,100
v3.24.0.1
Business Combinations - Purchase Price Allocation (Details) - USD ($)
$ in Thousands
Jul. 12, 2021
Jul. 02, 2021
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Business Acquisition [Line Items]          
Goodwill     $ 138,377 $ 137,724 $ 1,371,064
Developed technology | Minimum          
Business Acquisition [Line Items]          
Estimated useful lives     3 years    
Developed technology | Maximum          
Business Acquisition [Line Items]          
Estimated useful lives     5 years    
Depop          
Business Acquisition [Line Items]          
Current assets $ 4,288        
Goodwill 1,118,855        
Current liabilities (18,878)        
Non-current liabilities (27,957)        
Deferred tax liability, net (78,872)        
Total purchase price 1,492,823        
Depop | Trademark          
Business Acquisition [Line Items]          
Finite-lived intangibles $ 249,820        
Estimated useful lives 20 years        
Depop | Customer relationships          
Business Acquisition [Line Items]          
Finite-lived intangibles $ 148,504        
Estimated useful lives 13 years        
Depop | Property and equipment other          
Business Acquisition [Line Items]          
Property and equipment $ 1,299        
Depop | Property and equipment other | Minimum          
Business Acquisition [Line Items]          
Estimated useful lives 2 years        
Depop | Property and equipment other | Maximum          
Business Acquisition [Line Items]          
Estimated useful lives 5 years        
Depop | Developed technology          
Business Acquisition [Line Items]          
Property and equipment $ 95,764        
Estimated useful lives 5 years        
Elo7          
Business Acquisition [Line Items]          
Current assets   $ 2,721      
Goodwill   157,187      
Non-current assets   2,412      
Current liabilities   (3,406)      
Non-current liabilities   (2,691)      
Deferred tax liability, net   (22,727)      
Total purchase price   212,141      
Elo7 | Trademark          
Business Acquisition [Line Items]          
Finite-lived intangibles   $ 22,187      
Estimated useful lives   15 years      
Elo7 | Customer relationships          
Business Acquisition [Line Items]          
Finite-lived intangibles   $ 44,374      
Estimated useful lives   15 years      
Elo7 | Developed technology          
Business Acquisition [Line Items]          
Property and equipment   $ 12,084      
Estimated useful lives 5 years        
v3.24.0.1
Business Combinations - Unaudited Supplemental Pro Forma Information (Details) - Depop And Elo7
$ in Thousands
 12 Months Ended
Dec. 31, 2021
USD ($)
Business Acquisition [Line Items]  
Revenue $ 2,373,592
Net income $ 492,732
v3.24.0.1
Sale of Business (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Loss on sale of business $ (2,630) $ 0 $ 0
Elo7      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Loss on sale of business 2,600    
Cumulative translation adjustment 7,500    
Reclassification adjustment out of accumulated other comprehensive loss $ 7,500    
v3.24.0.1
Goodwill and Intangible Assets - Summary of Changes in the Carrying Amount of Goodwill (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Goodwill [Roll Forward]      
Balance as of the beginning of the period $ 137,724 $ 1,371,064  
Impairment 0 (1,045,022) $ 0
Foreign currency translation adjustments 653 (188,318)  
Balance as of the end of the period $ 138,377 $ 137,724 $ 1,371,064
v3.24.0.1
Goodwill and Intangible Assets - Narrative (Details)
$ in Thousands
 3 Months Ended 5 Months Ended 12 Months Ended
Jun. 30, 2023
USD ($)
Sep. 30, 2022
USD ($)
Dec. 31, 2023
segment
Dec. 31, 2023
USD ($)
segment
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Finite-Lived Intangible Assets [Line Items]            
Number of operating segments | segment     3 3    
Asset impairment charges       $ 0 $ 1,045,022 $ 0
Impairment of finite-lived intangible assets and other long-lived assets         0 0
Amortization expense of intangible assets       39,700 $ 41,300 $ 28,400
Elo7            
Finite-Lived Intangible Assets [Line Items]            
Asset impairment charges   $ 147,100        
Impairment of finite-lived intangible assets and other long-lived assets   0        
Asset impairment charges $ 60,200          
Depop            
Finite-Lived Intangible Assets [Line Items]            
Asset impairment charges   897,900        
Impairment of finite-lived intangible assets and other long-lived assets   $ 0        
Etsy            
Finite-Lived Intangible Assets [Line Items]            
Asset impairment charges       0    
Reverb            
Finite-Lived Intangible Assets [Line Items]            
Asset impairment charges       $ 0    
v3.24.0.1
Goodwill and Intangible Assets - Summary of Intangible Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]    
Gross book value $ 583,072 $ 627,585
Accumulated amortization (125,932) (92,179)
Total amortization expense $ 457,140 $ 535,406
Weighted-Average Remaining Life (in years) 13 years 4 months 24 days 14 years 2 months 12 days
Trademark    
Finite-Lived Intangible Assets [Line Items]    
Gross book value $ 308,583 $ 318,489
Accumulated amortization (51,328) (35,873)
Total amortization expense $ 257,255 $ 282,616
Weighted-Average Remaining Life (in years) 16 years 16 years 8 months 12 days
Customer relationships    
Finite-Lived Intangible Assets [Line Items]    
Gross book value $ 229,737 $ 265,429
Accumulated amortization (53,034) (39,808)
Total amortization expense $ 176,703 $ 225,621
Weighted-Average Remaining Life (in years) 10 years 7 months 6 days 11 years 10 months 24 days
Referral agreement    
Finite-Lived Intangible Assets [Line Items]    
Gross book value $ 35,135 $ 34,050
Accumulated amortization (19,393) (15,404)
Total amortization expense $ 15,742 $ 18,646
Weighted-Average Remaining Life (in years) 4 years 6 months 5 years 6 months
Patent licenses    
Finite-Lived Intangible Assets [Line Items]    
Gross book value $ 9,617 $ 9,617
Accumulated amortization (2,177) (1,094)
Total amortization expense $ 7,440 $ 8,523
Weighted-Average Remaining Life (in years) 9 years 2 months 12 days 9 years 10 months 24 days
v3.24.0.1
Goodwill and Intangible Assets - Summary of Future Amortization Expense for Intangible Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]    
2024 $ 38,079  
2025 38,080  
2026 37,758  
2027 37,690  
2028 35,680  
Thereafter 269,853  
Total amortization expense $ 457,140 $ 535,406
v3.24.0.1
Segment and Geographic Information - Narrative (Details) - segment
 5 Months Ended 12 Months Ended
Dec. 31, 2023
Dec. 31, 2023
Segment Reporting [Abstract]    
Number of operating segments 3 3
Number of reportable segments   1
v3.24.0.1
Segment and Geographic Information - Schedules of Segment and Geographic Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Revenue, Major Customer [Line Items]      
Revenue $ 2,748,377 $ 2,566,111 $ 2,329,114
Long-lived assets 175,258 175,321  
United States      
Revenue, Major Customer [Line Items]      
Revenue 1,472,677 1,429,650 1,393,637
Long-lived assets 153,826 165,529  
United Kingdom      
Revenue, Major Customer [Line Items]      
Revenue 347,889 343,788 329,203
All Other      
Revenue, Major Customer [Line Items]      
Revenue 927,811 792,673 $ 606,274
All Other      
Revenue, Major Customer [Line Items]      
Long-lived assets $ 21,432 $ 9,792  
v3.24.0.1
Segment and Geographic Information - Schedule of Tangible Long-Lived Assets (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets $ 175,258 $ 175,321
United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets 153,826 165,529
All Other    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets $ 21,432 $ 9,792
v3.24.0.1
Fair Value Measurements - Narrative (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2023
investment
Dec. 31, 2022
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Amount authorized for impact portfolio | $   $ 30
Number of investments related to impact portfolio | investment 4  
Minimum    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale debt securities, investment maturity 12 months  
Maximum    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Available-for-sale debt securities, investment maturity 37 months  
v3.24.0.1
Fair Value Measurements - Schedule of Major Categories of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost   $ 758,873
Gross Unrealized Holding Loss   (2,439)
Gross Unrealized Holding Gain   38
Fair Value   756,472
Cash and Cash Equivalents   388,446
Short-term investments $ 236,118 250,413
Long-term Investments 86,676 29,137
Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Gross Unrealized Holding Loss   (101)
Gross Unrealized Holding Gain   18
Fair Value   57,694
Fair Value, Inputs, Level 1, Level 2, and Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 692,168  
Gross Unrealized Holding Loss (336)  
Gross Unrealized Holding Gain 279  
Fair Value 692,111  
Cash and Cash Equivalents 382,956  
Short-term investments 236,118  
Long-term Investments 73,037  
Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 472,319 527,834
Gross Unrealized Holding Loss (164) (424)
Gross Unrealized Holding Gain 39 4
Fair Value 472,194 527,414
Cash and Cash Equivalents 376,941 377,309
Short-term investments 60,233 61,629
Long-term Investments 35,020 0
Level 1 | Money Market Funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 377,021 462,866
Gross Unrealized Holding Loss 0 0
Gross Unrealized Holding Gain 0 0
Fair Value 377,021 462,866
Cash and Cash Equivalents 376,941 374,314
Short-term investments 80 76
Long-term Investments 0 0
Funds receivable and seller accounts 0 88,500
Level 1 | U.S. Government securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 95,298 64,968
Gross Unrealized Holding Loss (164) (424)
Gross Unrealized Holding Gain 39 4
Fair Value 95,173 64,548
Cash and Cash Equivalents 0 2,995
Short-term investments 60,153 61,553
Long-term Investments 35,020 0
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 213,849 231,039
Gross Unrealized Holding Loss (172) (2,015)
Gross Unrealized Holding Gain 240 34
Fair Value 213,917 229,058
Cash and Cash Equivalents 6,015 11,137
Short-term investments 175,885 188,784
Long-term Investments 32,017 29,137
Level 2 | U.S. agency securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 15,635 10,053
Gross Unrealized Holding Loss (14) (1)
Gross Unrealized Holding Gain 3 3
Fair Value 15,624 10,055
Cash and Cash Equivalents 0 0
Short-term investments 15,624 10,055
Long-term Investments 0 0
Level 2 | Certificate of deposit    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 35,365 40,915
Gross Unrealized Holding Loss (1) (184)
Gross Unrealized Holding Gain 55 7
Fair Value 35,419 40,738
Cash and Cash Equivalents 0 5,471
Short-term investments 35,419 35,267
Long-term Investments 0 0
Level 2 | Commercial paper    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 62,463 57,777
Gross Unrealized Holding Loss (12)  
Gross Unrealized Holding Gain 54  
Fair Value 62,505  
Cash and Cash Equivalents 4,449 4,454
Short-term investments 58,056 53,240
Long-term Investments 0 0
Level 2 | Corporate bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 100,386 122,294
Gross Unrealized Holding Loss (145) (1,729)
Gross Unrealized Holding Gain 128 6
Fair Value 100,369 120,571
Cash and Cash Equivalents 1,566 1,212
Short-term investments 66,786 90,222
Long-term Investments 32,017 $ 29,137
Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 6,000  
Gross Unrealized Holding Loss 0  
Gross Unrealized Holding Gain 0  
Fair Value 6,000  
Cash and Cash Equivalents 0  
Short-term investments 0  
Long-term Investments 6,000  
Level 3 | Loans receivable - held for investment    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cost 6,000  
Gross Unrealized Holding Loss 0  
Gross Unrealized Holding Gain 0  
Fair Value 6,000  
Cash and Cash Equivalents 0  
Short-term investments 0  
Long-term Investments 6,000  
Measured at NAV | Third-party managed funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term Investments $ 13,639  
v3.24.0.1
Fair Value Measurements - Schedule of Unrealized Loss and Fair Value of Debt Securities Available-for-Sale (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss $ (264) $ (546)
Fair Value 153,750 121,544
12 months or longer in a continuous unrealized loss position    
Gross Unrealized Holding Loss (72) (1,607)
Fair Value 20,808 57,544
U.S. agency securities    
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss (14)  
Fair Value 12,569  
Certificate of deposit    
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss (1)  
Fair Value 7,178  
Commercial paper    
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss (12)  
Fair Value 34,066  
Corporate bonds    
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss (73) (281)
Fair Value 28,401 70,469
12 months or longer in a continuous unrealized loss position    
Gross Unrealized Holding Loss (72) (1,448)
Fair Value 20,808 50,102
U.S. Government securities    
Less than 12 months in a continuous unrealized loss position    
Gross Unrealized Holding Loss (164) (265)
Fair Value $ 71,536 51,075
12 months or longer in a continuous unrealized loss position    
Gross Unrealized Holding Loss   (159)
Fair Value   $ 7,442
v3.24.0.1
Fair Value Measurements - Schedule of Estimated Fair Value Liability Component (Details) - Level 2 - Convertible Debt - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Carrying Value    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value $ 2,283,817 $ 2,279,640
Carrying Value | 2021 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 991,529 989,629
Carrying Value | 2020 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 645,624 644,431
Carrying Value | 2019 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 646,664 645,536
Carrying Value | 2018 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 0 44
Fair Value    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 2,103,420 2,508,036
Fair Value | 2021 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 799,000 863,300
Fair Value | 2020 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 556,790 646,230
Fair Value | 2019 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value 747,630 998,361
Fair Value | 2018 Notes    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Long-term debt, fair value $ 0 $ 145
v3.24.0.1
Property and Equipment - Summary of Property and Equipment (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 493,846 $ 453,933
Less: Accumulated depreciation and amortization 244,052 204,189
Property and equipment, net $ 249,794 249,744
Computer equipment    
Property, Plant and Equipment [Line Items]    
Estimated useful lives 3 years  
Property and equipment, gross $ 15,534 12,820
Furniture and equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 14,011 11,398
Furniture and equipment | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated useful lives 2 years  
Furniture and equipment | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated useful lives 4 years  
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 62,220 56,095
Construction in progress    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 0 419
Building    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 133,063 133,063
Website development and internal-use software    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 269,018 $ 240,138
Website development and internal-use software | Minimum    
Property, Plant and Equipment [Line Items]    
Estimated useful lives 3 years  
Website development and internal-use software | Maximum    
Property, Plant and Equipment [Line Items]    
Estimated useful lives 5 years  
v3.24.0.1
Property and Equipment - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Jun. 30, 2023
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Property, Plant and Equipment [Line Items]        
Depreciation   $ 51.6 $ 55.5 $ 45.8
Elo7        
Property, Plant and Equipment [Line Items]        
Asset impairment charges $ 7.9      
Developed technology        
Property, Plant and Equipment [Line Items]        
Amortization expense   $ 34.3 $ 37.3 $ 30.0
v3.24.0.1
Leases - Elements of Lease Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Leases [Abstract]      
Operating lease cost $ 6,832 $ 8,251 $ 6,320
Finance lease cost:      
Amortization of right-of-use assets 6,809 7,174 9,139
Interest on lease liabilities 5,190 5,392 3,044
Total finance lease cost 11,999 12,566 12,183
Other lease income, net 1,385 1,220 1,193
Total lease cost $ 20,216 $ 22,037 $ 19,696
v3.24.0.1
Leases - Lease-related Assets and Liabilities (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Operating leases:    
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Other assets Other assets
Other assets $ 42,153 $ 38,784
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Other current liabilities Other current liabilities
Other current liabilities $ 4,939 $ 4,233
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other liabilities Other liabilities
Other liabilities $ 41,105 $ 38,085
Total operating lease liabilities $ 46,044 $ 42,318
Finance leases:    
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Property and equipment, net Property and equipment, net
Property and equipment, net $ 95,381 $ 102,169
Finance lease obligations—current 6,079 4,731
Finance lease obligations—net of current portion 99,620 105,699
Total finance lease liabilities $ 105,699 $ 110,430
v3.24.0.1
Leases - Weighted Average Remaining Lease Term and Weighted Average Discount Rate (Details)
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]    
Weighted average remaining lease term, operating leases 13 years 5 months 19 days 14 years 6 months 14 days
Weighted average remaining lease term, finance leases 15 years 6 months 21 days 16 years 5 months 26 days
Weighted average discount rate, operating leases 4.40% 4.54%
Weighted average discount rate, finance leases 4.73% 4.73%
v3.24.0.1
Leases - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Leases [Abstract]      
Operating cash flows used in operating leases $ (6,482) $ (7,871) $ (6,442)
Operating cash flows used in finance leases (5,174) (5,387) (3,025)
Finance cash flows used in finance leases $ (6,278) $ (6,307) $ (8,864)
v3.24.0.1
Leases - Future Minimum Lease Payments Under Non-cancelable Leases (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Operating Leases    
2024 $ 6,549  
2025 6,565  
2026 1,855  
2027 1,310  
2028 4,300  
Thereafter 42,717  
Total future minimum lease payments 63,296  
Imputed interest 17,252  
Total operating lease liabilities 46,044 $ 42,318
Finance Leases    
2024 10,115  
2025 10,760  
2026 100  
2027 882  
2028 10,593  
Thereafter 124,404  
Total future minimum lease payments 156,854  
Imputed interest 51,155  
Total finance lease liabilities $ 105,699 $ 110,430
v3.24.0.1
Accrued Expenses (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Payables and Accruals [Abstract]    
Pass-through marketplace tax collection obligation $ 126,284 $ 129,591
Vendor accruals 120,804 127,791
Employee compensation-related liabilities 95,842 63,718
Taxes payable 10,623 10,134
Total accrued expenses $ 353,553 $ 331,234
v3.24.0.1
Debt - Schedule of Debt (Details) - USD ($)
$ in Thousands
Dec. 31, 2023
Dec. 31, 2022
Jun. 30, 2021
Aug. 31, 2020
Sep. 30, 2019
Mar. 31, 2018
Debt Instrument [Line Items]            
Long-term debt, net $ 2,283,817 $ 2,279,640        
Convertible Debt            
Debt Instrument [Line Items]            
Principal 2,299,887 2,299,976        
Unamortized debt issuance costs 16,070 20,336        
Long-term debt, net 2,283,817 2,279,640        
2021 Notes | Convertible Debt            
Debt Instrument [Line Items]            
Principal 1,000,000 1,000,000 $ 1,000,000      
Unamortized debt issuance costs 8,471 10,371        
Long-term debt, net 991,529 989,629        
2020 Notes | Convertible Debt            
Debt Instrument [Line Items]            
Principal 650,000 650,000   $ 650,000    
Unamortized debt issuance costs 4,376 5,569        
Long-term debt, net 645,624 644,431        
2019 Notes | Convertible Debt            
Debt Instrument [Line Items]            
Principal         $ 650,000  
Principal, net of conversion notes 649,887 649,932        
Unamortized debt issuance costs 3,223 4,396        
Long-term debt, net 646,664 645,536        
2018 Notes | Convertible Debt            
Debt Instrument [Line Items]            
Principal           $ 345,000
Principal, net of conversion notes 0 44        
Unamortized debt issuance costs 0 0        
Long-term debt, net $ 0 $ 44        
v3.24.0.1
Debt - Schedule of Maturities of Convertible Notes (Details) - Convertible Debt
 1 Months Ended 12 Months Ended
Jun. 30, 2021
day
$ / shares
Aug. 31, 2020
$ / shares
Sep. 30, 2019
$ / shares
Mar. 31, 2018
$ / shares
Dec. 31, 2023
day
Debt Instrument, Redemption, Period One          
Debt Instrument [Line Items]          
Threshold percentage of stock price trigger         130.00%
Threshold trading days | day         20
Threshold consecutive trading days | day         30
2021 Notes          
Debt Instrument [Line Items]          
Conversion ratio 0.0040518        
Conversion price (in dollars per share) | $ / shares $ 246.80        
Effective interest rate         0.40%
2021 Notes | Debt Instrument, Redemption, Period One          
Debt Instrument [Line Items]          
Threshold percentage of stock price trigger 130.00%        
Threshold trading days | day 20        
Threshold consecutive trading days | day 30        
2020 Notes          
Debt Instrument [Line Items]          
Conversion ratio   0.0050007      
Conversion price (in dollars per share) | $ / shares   $ 199.97      
Effective interest rate         0.30%
2019 Notes          
Debt Instrument [Line Items]          
Conversion ratio     0.011404    
Conversion price (in dollars per share) | $ / shares     $ 87.69    
Effective interest rate         0.30%
2018 Notes          
Debt Instrument [Line Items]          
Conversion ratio       0.0275691  
Conversion price (in dollars per share) | $ / shares       $ 36.27  
Effective interest rate         0.00%
v3.24.0.1
Debt - Narrative (Details)
 1 Months Ended 12 Months Ended
Mar. 01, 2023
shares
Aug. 31, 2020
day
Dec. 31, 2023
day
2018 Capped Call Transactions      
Debt Instrument [Line Items]      
Settlement of capped call (in shares) | shares 1,194,006    
Debt Instrument, Redemption, Period One | Convertible Debt      
Debt Instrument [Line Items]      
Threshold trading days     20
Threshold consecutive trading days     30
Threshold percentage of stock price trigger     130.00%
Debt Instrument, Redemption, Period Two | Convertible Debt | 2020 Notes      
Debt Instrument [Line Items]      
Threshold trading days   5  
Threshold consecutive trading days   10  
Threshold percentage of stock price trigger   98.00%  
v3.24.0.1
Debt - 2021 Convertible Debt (Details)
$ in Thousands
 1 Months Ended 12 Months Ended
Jun. 08, 2021
USD ($)
Jun. 30, 2021
USD ($)
day
Dec. 31, 2023
USD ($)
day
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Debt Instrument [Line Items]          
Purchase of capped calls     $ 0 $ 0 $ 85,000
Convertible Debt          
Debt Instrument [Line Items]          
Principal     $ 2,299,887 2,299,976  
Convertible Debt | Debt Instrument, Redemption, Period One          
Debt Instrument [Line Items]          
Threshold percentage of stock price trigger     130.00%    
Threshold trading days | day     20    
Threshold consecutive trading days | day     30    
Convertible Debt | 2021 Notes          
Debt Instrument [Line Items]          
Principal   $ 1,000,000 $ 1,000,000 $ 1,000,000  
Proceeds from issuance of convertible senior notes   $ 986,700      
Convertible Debt | 2021 Notes | Debt Instrument, Redemption, Period One          
Debt Instrument [Line Items]          
Threshold percentage of stock price trigger   130.00%      
Threshold trading days | day   20      
Threshold consecutive trading days | day   30      
Convertible Debt | 2021 Notes | Debt Instrument, Redemption, Period Three          
Debt Instrument [Line Items]          
Redemption price percent   100.00%      
Convertible Debt | 2021 Capped Call Transactions          
Debt Instrument [Line Items]          
Purchase of capped calls $ 85,000        
v3.24.0.1
Debt - 2020 Convertible Debt (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Aug. 31, 2020
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Debt Instrument [Line Items]        
Purchase of capped calls   $ 0 $ 0 $ 85,000
Convertible Debt        
Debt Instrument [Line Items]        
Debt instrument   2,299,887 2,299,976  
Convertible Debt | Convertible Senior Notes Due 2027        
Debt Instrument [Line Items]        
Debt instrument $ 650,000 $ 650,000 $ 650,000  
Proceeds from issuance of convertible senior notes $ 639,500      
Redemption price, percentage 100.00%      
Convertible Debt | 2020 Capped Call Transactions        
Debt Instrument [Line Items]        
Purchase of capped calls $ 74,700      
v3.24.0.1
Debt - 2019 Convertible Debt (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Sep. 30, 2019
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Debt Instrument [Line Items]        
Purchase of capped calls   $ 0 $ 0 $ 85,000
Convertible Debt        
Debt Instrument [Line Items]        
Debt instrument   $ 2,299,887 $ 2,299,976  
Convertible Debt | 2019 Notes        
Debt Instrument [Line Items]        
Debt instrument $ 650,000      
Proceeds from issuance of convertible senior notes $ 639,500      
Redemption price, percentage 100.00%      
Convertible Debt | 2019 Capped Call Transactions        
Debt Instrument [Line Items]        
Purchase of capped calls $ 76,200      
v3.24.0.1
Debt - 2018 Convertible Debt (Details) - USD ($)
$ in Thousands, shares in Millions
 1 Months Ended 12 Months Ended
Mar. 31, 2018
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Mar. 31, 2023
Debt Instrument [Line Items]            
Purchase of capped calls   $ 0 $ 0 $ 85,000    
Settlement of convertible senior notes   90 44 43,900    
Convertible Debt            
Debt Instrument [Line Items]            
Principal   $ 2,299,887 $ 2,299,976      
Convertible Debt | 2018 Notes            
Debt Instrument [Line Items]            
Principal $ 345,000          
Proceeds from issuance of convertible senior notes 335,000          
Settlement of convertible senior notes       $ 43,900 $ 137,200  
Debt conversion, converted instrument, (in shares)       1.0 7.3  
Debt instrument conversion amount       $ 43,900 $ 301,100  
Debt Instrument, Face Amount, Net Of Conversion Notices           $ 44
Convertible Debt | 2018 Capped Call Transactions            
Debt Instrument [Line Items]            
Purchase of capped calls $ 34,200          
v3.24.0.1
Debt - Schedule of Interest Expense (Details) - Convertible Debt - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Debt Instrument [Line Items]      
Total interest expense $ 8,391 $ 8,391 $ 6,446
2021 Notes      
Debt Instrument [Line Items]      
Total interest expense 4,400 4,400 2,411
2020 Notes      
Debt Instrument [Line Items]      
Total interest expense 2,006 2,006 2,006
2019 Notes      
Debt Instrument [Line Items]      
Total interest expense 1,985 1,985 1,985
2018 Notes      
Debt Instrument [Line Items]      
Total interest expense $ 0 $ 0 $ 44
v3.24.0.1
Debt - Schedule of Capped Call Transactions (Details) - Convertible Debt - $ / shares
Jun. 08, 2021
Aug. 19, 2020
Sep. 18, 2019
Aug. 31, 2020
Sep. 30, 2019
2021 Capped Call Transactions          
Debt Instrument [Line Items]          
Transaction price cap (in dollars per share) $ 340.42        
Cap premium percentage over reported sales price 100.00%        
2020 Capped Call Transactions          
Debt Instrument [Line Items]          
Transaction price cap (in dollars per share)       $ 327.83  
Cap premium percentage over reported sales price   150.00%      
2019 Capped Call Transactions          
Debt Instrument [Line Items]          
Transaction price cap (in dollars per share)         $ 148.63
Cap premium percentage over reported sales price     150.00%    
v3.24.0.1
Debt - 2023 Credit Agreement (Details) - Credit Agreement - USD ($)
Mar. 24, 2023
Dec. 31, 2023
Dec. 31, 2022
Line of Credit Facility [Line Items]      
Maximum required secured net leverage ratio 350.00%    
Maximum required secured net leverage ratio, certain material acquisitions 400.00%    
Revolving Credit Facility      
Line of Credit Facility [Line Items]      
Line of credit, maximum borrowing capacity $ 400,000,000    
Maximum unrestricted cash $ 100,000,000    
Line of credit facility, amount outstanding   $ 0 $ 0
Revolving Credit Facility | Minimum      
Line of Credit Facility [Line Items]      
Commitment fee amount 0.20%    
Revolving Credit Facility | Maximum      
Line of Credit Facility [Line Items]      
Commitment fee amount 0.35%    
Revolving Credit Facility | Federal Funds Effective Swap Rate      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 0.50%    
Revolving Credit Facility | One-Month Adjusted Term SOFR      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 1.00%    
Revolving Credit Facility | One-Month Adjusted Term SOFR Plus 1% | Minimum      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 0.50%    
Revolving Credit Facility | One-Month Adjusted Term SOFR Plus 1% | Maximum      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 1.25%    
Revolving Credit Facility | Adjusted Term SOFR, Adjusted | Minimum      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 1.50%    
Revolving Credit Facility | Adjusted Term SOFR, Adjusted | Maximum      
Line of Credit Facility [Line Items]      
Basis spread on variable rate 2.25%    
Letter of Credit      
Line of Credit Facility [Line Items]      
Line of credit, maximum borrowing capacity $ 60,000,000    
Line of credit facility, current borrowing capacity 200,000,000    
Bridge Loan      
Line of Credit Facility [Line Items]      
Line of credit, maximum borrowing capacity $ 20,000,000    
Standby Letters of Credit      
Line of Credit Facility [Line Items]      
Line of credit, maximum borrowing capacity   $ 5,300,000  
v3.24.0.1
Commitments and Contingencies - Narrative (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Loss Contingencies [Line Items]    
Purchase obligation $ 420,792  
Purchase obligation, term 3 years  
Non-income Tax Obligations    
Loss Contingencies [Line Items]    
Non-income tax obligation reserve $ 26,200 $ 43,200
Non-income Tax Obligations | Reverb    
Loss Contingencies [Line Items]    
Non-income tax obligation reserve 11,500  
Non-income Tax Obligations | Depop And Elo7    
Loss Contingencies [Line Items]    
Non-income tax obligation reserve 30,400  
Indemnification asset $ 3,000  
v3.24.0.1
Commitments and Contingencies - Summary of Purchase Obligations (Details)
$ in Thousands
Dec. 31, 2023
USD ($)
Purchase Obligations  
2024 $ 134,245
2025 191,547
2026 95,000
Thereafter 0
Total purchase obligations $ 420,792
v3.24.0.1
Stockholders' (Deficit) Equity - Stock Repurchases Narrative (Details) - USD ($)
 1 Months Ended 12 Months Ended
Mar. 01, 2023
Jun. 30, 2021
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Jun. 14, 2023
May 31, 2022
Dec. 31, 2020
Class of Stock [Line Items]                
Authorized repurchase amount           $ 1,000,000,000 $ 600,000,000 $ 250,000,000
Remaining Amount Authorized     $ 724,400,000          
Stock repurchased (in shares)     6,879,844 3,958,155 554,718      
Stock repurchased     $ 582,475,000 $ 425,727,000 $ 302,774,000      
2018 Capped Call Transactions                
Class of Stock [Line Items]                
Settlement of capped call (in shares) 1,194,006              
Convertible Debt | 2021 Notes                
Class of Stock [Line Items]                
Stock repurchased (in shares)   1,100,000            
Stock repurchased   $ 180,000,000            
v3.24.0.1
Stockholders' (Deficit) Equity - Summary of Activity of Shares Repurchases (Details) - $ / shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Equity [Abstract]      
Shares repurchased (in shares) 6,879,844 3,958,155 554,718
Average Price Paid Per Share (in dollars per share) $ 83.86 $ 107.56 $ 221.33
v3.24.0.1
Stock-based Compensation - Narrative (Details) - USD ($)
$ in Millions
 1 Months Ended 12 Months Ended 54 Months Ended
Jan. 02, 2024
Jan. 02, 2023
Jan. 03, 2022
Jul. 12, 2021
Jul. 31, 2021
Dec. 31, 2023
Dec. 31, 2022
Depop              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting period       3 years      
Precombination service awards, replacement awards       $ 4.8      
Depop | Common Stock              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Deferred purchase price for post-combination share-based service arrangement       $ 44.0      
Stock options              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award expiration period           10 years  
Award requisite service period           4 years  
Unrecognized compensation           $ 5.3  
Weighted-average period for unrecognized compensation           1 year 1 month 28 days  
Stock options | Board of Directors              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award requisite service period           1 year  
Restricted stock units              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award requisite service period           4 years  
Award vesting period           4 years  
Award vesting rights, percentage             25.00%
Interval vesting period           6 months  
Weighted-average period for unrecognized compensation           2 years 6 months 25 days  
Unrecognized compensation           $ 596.0  
Restricted stock units | Depop And Elo7              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Aggregate fair value of awards granted         $ 78.8    
Precombination service awards, replacement awards         $ 5.6    
Restricted stock units | Share-based Payment Arrangement, Tranche One | Depop And Elo7              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting rights, percentage         25.00%    
Restricted stock units | Share-based Payment Arrangement, Tranche Two | Depop And Elo7              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting rights, percentage         75.00%    
Financial Performance Based Restricted Stock Units | Minimum              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting rights, percentage           0.00%  
Financial Performance Based Restricted Stock Units | Maximum              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award vesting rights, percentage           200.00%  
Total Shareholder Return Performance Based Restricted Stock Units              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Award measurement period           3 years  
2015 Equity Incentive Plan              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Potential annual share increase (in shares)           7,050,000  
Percentage of outstanding stock           5.00%  
Maximum number of additional shares issued annually (in shares)   6,252,714 6,351,106        
Number of shares authorized (in shares)           56,644,564  
Number of shares available for grant (in shares)           37,275,895  
2015 Equity Incentive Plan | Subsequent Event              
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]              
Maximum number of additional shares issued annually (in shares) 0            
v3.24.0.1
Stock-based Compensation - Fair Value of Options Granted Using the Black-Scholes Pricing Model (Details) - Stock options
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Minimum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected Volatility 63.30% 62.50% 43.40%
Risk-free interest rate 4.10% 3.40% 0.80%
Expected term (in years) 4 years 6 months 4 years 7 months 6 days 4 years 7 months 6 days
Maximum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected Volatility     57.40%
Risk-free interest rate     1.20%
Expected term (in years)     6 years 2 months 12 days
v3.24.0.1
Stock-based Compensation - Summary of Stock Option Activity (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Shares        
Outstanding, beginning balance (in shares) 3,456,317 4,273,725 5,099,952  
Granted (in shares) 8,131 9,916 198,193  
Exercised (in shares) (623,161) (816,620) (994,456)  
Forfeited/Cancelled (in shares) (65,356) (10,704) (29,964)  
Outstanding, ending balance (in shares) 2,775,931 3,456,317 4,273,725 5,099,952
Total exercisable (in shares) 2,650,630      
Weighted-Average Exercise Price        
Outstanding, beginning balance (in dollars per share) $ 31.99 $ 29.52 $ 20.97  
Granted (in dollars per share) 95.06 76.05 218.93  
Exercised (in dollars per share) 22.83 18.40 22.83  
Forfeited/Cancelled (in dollars per share) 123.29 126.22 47.86  
Outstanding, ending balance (in dollars per share) 32.08 $ 31.99 $ 29.52 $ 20.97
Total exercisable at Weighted-Average Exercise Price (in dollars per share) $ 27.44      
Weighted-Average Remaining Contract Term (in years)        
Outstanding 4 years 10 days 5 years 21 days 5 years 11 months 26 days 6 years 9 months 21 days
Total exercisable 3 years 10 months 20 days      
Aggregate Intrinsic Value        
Outstanding $ 158,476 $ 322,230 $ 810,321 $ 800,453
Total exercisable $ 156,256      
v3.24.0.1
Stock-based Compensation - Weighted Average Grant Date Fair Value Options Granted and Awards Vested and Intrinsic Value of Options (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Share-Based Payment Arrangement [Abstract]      
Weighted average grant date fair value of options granted (in shares) $ 51.65 $ 40.84 $ 95.00
Intrinsic value of options exercised $ 44,266 $ 87,892 $ 206,709
Fair value of awards vested $ 278,537 $ 195,929 $ 96,592
v3.24.0.1
Stock-based Compensation - Summary of the Unvested RSUs (Details) - RSUs - $ / shares
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Shares      
Unvested at beginning of period (in shares) 6,393,786 3,506,721 3,085,987
Granted (in shares) 3,644,341 5,226,948 2,136,685
Vested (in shares) (2,350,706) (1,670,084) (1,400,241)
Forfeited/Canceled (in shares) (1,490,623) (669,799) (315,710)
Unvested at period end (in shares) 6,196,798 6,393,786 3,506,721
Weighted-Average Fair Value      
Unvested at beginning of period (in dollars per share) $ 128.37 $ 137.87 $ 50.28
Granted (in dollars per share) 100.24 119.83 208.84
Vested (in dollars per share) 114.95 110.53 59.80
Forfeited/Canceled (in dollars per share) 127.68 154.06 108.22
Unvested at period end (in dollars per share) $ 117.14 $ 128.37 $ 137.87
v3.24.0.1
Stock-based Compensation - Allocated Share-Based Compensation Expense (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense $ 284,558 $ 230,888 $ 139,910
Cost of revenue      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 31,246 23,283 13,085
Marketing      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 22,784 19,571 11,339
Product development      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 146,017 124,559 58,900
General and administrative      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense $ 84,511 $ 63,475 $ 56,586
v3.24.0.1
Restructuring and Other Exit Costs - Narrative (Details)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 12, 2023
position
Dec. 31, 2023
USD ($)
Dec. 31, 2023
USD ($)
Restructuring Cost and Reserve [Line Items]      
Number of positions eliminated (percentage) 11.00%    
Number of positions eliminated | position 225    
Reducing of positions (percentage)   13.00%  
Severance and employee-related benefits | $   $ 26,600 $ 26,189
v3.24.0.1
Restructuring and Other Exit Costs - Components of the Restructuring Plan (Details)
$ in Thousands
 12 Months Ended
Dec. 31, 2023
USD ($)
Restructuring Cost and Reserve [Line Items]  
Total restructuring and other exit costs $ 26,577
Cost of revenue  
Restructuring Cost and Reserve [Line Items]  
Total restructuring and other exit costs 5,650
Marketing  
Restructuring Cost and Reserve [Line Items]  
Total restructuring and other exit costs 3,233
Product development  
Restructuring Cost and Reserve [Line Items]  
Total restructuring and other exit costs 13,527
General and administrative  
Restructuring Cost and Reserve [Line Items]  
Total restructuring and other exit costs $ 4,167
v3.24.0.1
Restructuring and Other Exit Costs - Components of and changes in the Restructuring Plan, incurred in Accrued liabilites (Details) - USD ($)
$ in Thousands
 3 Months Ended 12 Months Ended
Dec. 31, 2023
Dec. 31, 2023
Restructuring Reserve [Roll Forward]    
Beginning balance   $ 0
Severance and employee-related benefits $ 26,600 26,189
Cash payments   (1,849)
Ending balance $ 24,340 $ 24,340
v3.24.0.1
Label Element Value
Accounting Standards Update [Extensible Enumeration] us-gaap_AccountingStandardsUpdateExtensibleList Accounting Standards Update 2020-06 [Member]