Bitcoin Rewards App Fold Files for IPO with SEC, Holds 1,002 BTC

Key
Points:

1. 
   Fold
   app
   has
   submitted
   its
   S-4
   filing
   to
   the
   SEC
   for
   an
   upcoming
   IPO.
2. 
   The
   app
   plans
   to
   merge
   with
   FTAC
   Emerald
   Acquisition
   Corp.,
   with
   a
   Nasdaq
   listing
   under
   the
   ticker
   “FLD.”
3. 
   Fold
   held
   1,002
   Bitcoin
   (BTC),
   valued
   at
   $63.2
   million
   as
   of
   July
   2024.
4. 
   Expansion
   plans
   include
   Bitcoin
   deposits,
   trading
   services,
   and
   reaching
   previously
   unsupported
   U.S.
   states.

The
Bitcoin
rewards
app
Fold
has
taken
a
major
step
toward
going
public,
submitting
its
S-4
filing
to
the
U.S.
Securities
and
Exchange
Commission
(SEC)
for
an
initial
public
offering
(IPO).
This
move
follows
Fold’s
July
announcement
about
its
plans
to
go
public
through
a
merger
with
FTAC
Emerald
Acquisition
Corp.,
a
special
purpose
acquisition
company
(SPAC).

According
to
the
filing,
on
July
24,
2024,
FTAC
Emerald
and
its
subsidiary,
EMLD
Merger
Sub
Inc.,
reached
an
agreement
where
EMLD
will
merge
into
Fold,
with
Fold
becoming
a
wholly-owned
subsidiary.
Upon
completion
of
the
merger,
the
combined
entity
will
remain
listed
on
Nasdaq,
trading
under
the
new
ticker
symbol
“FLD.”

This
deal
is
pending
regulatory
and
shareholder
approvals,
with
the
merger
expected
to
close
in
the
fourth
quarter
of
2024.
FTAC
Emerald
shareholders
will
have
their
stock,
currently
valued
at
$10.72
per
share,
converted
into
Fold
common
stock.
The
final
valuation
of
these
stocks,
expected
to
be
between
$365
million
and
$419.75
million,
will
depend
on
Bitcoin’s
price
at
the
time
of
the
transaction’s
closing.

Stockholder
Vote
and
Crypto
Industry
Growth

The
filing
also
announced
that
a
special
meeting
of
Emerald
stockholders
will
take
place
to
vote
on
the
merger.
The
date
for
this
meeting
has
yet
to
be
determined.

Cabal
Capital,
a
financial
services
firm,
commented
on
the
IPO,
noting
that
Fold’s
decision
to
go
public
highlights
the
increasing
mainstream
acceptance
of
cryptocurrency
companies.
The
IPO
is
expected
to
provide
Fold
with
additional
capital,
boosting
its
credibility
and
attracting
potential
investors,
particularly
those
interested
in
the
growing
cryptocurrency
market.

Fold’s
Business
and
Expansion
Plans

Fold
operates
a
Bitcoin
rewards
platform,
allowing
users
to
earn
cryptocurrency
cashback
on
purchases
from
major
retailers
such
as
Amazon,
Uber,
and
Starbucks.
The
company
also
offers
a
Bitcoin
rewards
debit
card
and
features
a
prize
wheel
for
earning
additional
BTC.
Integrated
with
the
Lightning
Network,
the
platform
supports
crypto
payments
for
services
like
mortgages
and
rent.

The
S-4
filing
revealed
that
Fold
is
planning
to
expand
its
services,
including
Bitcoin
custody
and
trading
programs,
and
to
broaden
its
reach
into
states
where
it
currently
has
limited
support.
These
initiatives
will
include
allowing
users
to
fund
accounts
with
Bitcoin
deposits,
extending
access
to
Fold’s
exchange
for
non-cardholders,
and
launching
an
over-the-counter
(OTC)
desk
for
larger
crypto
trades.

Additionally,
the
company
aims
to
continue
accumulating
Bitcoin
as
part
of
its
treasury
investment
strategy.
As
of
July
31,
2024,
Fold
held
1,002
BTC,
valued
at
approximately
$63.2
million,
solidifying
its
commitment
to
expanding
its
Bitcoin
holdings.

With
these
expansion
plans,
the
IPO,
and
the
merger,
Fold
is
positioning
itself
for
significant
growth
in
the
evolving
cryptocurrency
and
traditional
finance
space.