Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 391

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 391
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 that features redemption rights that are within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) is classified in temporary equity. At all other times, common stock is classified as stockholders’ equity. Emerald Class A Common Stock sold in the IPO and over -allotmentfeature certain redemption rights that are considered to be outside of Emerald’s control and subject to the occurrence of uncertain future events. Accordingly, as of September 30, 2024 and December 31, 2023, 4,757,884 and 15,630,150shares of Class A Common Stock are presented at redemption value as temporary equity, outside of the stockholders’ deficit section of our condensed balance sheets, respectively. Emerald recognizes changes in redemption value immediately as they occur and adjust the carrying value of Class A Common Stock to equal the redemption value at the end of each reporting period. Increases or decreases in the carrying amount of redeemable Class A common stock are affected by charges against additional paid in capital and accumulated deficit. This method would view the end of the reporting period as if it were also the redemption date for the security. Net (Loss) Income Per Common Share Emerald historically had two classes of shares, which are referred to as Class A Common Stock and Class B Common Stock. Earnings and losses are shared pro rata between the two classes of shares. Accretion associated with the redeemable shares of Class A Common Stock is excluded from earnings per share as the redemption value approximates fair value. Emerald has not considered the effect of the Warrants in the calculation of diluted net (loss) income per share, if any, since their exercise is contingent upon future events. As a result, diluted net (loss) income per share of Common Stock is the same as basic net (loss) income per share of Common Stock. Recent Accounting Standards Emerald’s management does not believe that any recently issued, but not yet effective, accounting standards, if currently adopted, would have a material effect on our condensed financial statements. 249 CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS Emerald Relationships and Related Party Transactions Emerald Related Party Policy Emerald has adopted a code of conduct and ethics requiring it to avoid, wherever possible, all conflicts of interests, except under guidelines or resolutions approved by the Emerald board of directors (or the appropriate committee of the board) or as disclosed in its public filings with the SEC. Under the code of conduct and ethics, conflict of interest situations include any financial transaction, arrangement or