Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 39

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 39
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 to exercise your redemption rights, you may request that Emerald’s transfer agent return the shares (physically or electronically). You may make such request by contacting Emerald’s transfer agent at the phone number or address listed under the question “ Who can help answer my questions?” below. Q.What are the U.S. federal income tax consequences of exercising my redemption rights? A.We expect that a U.S. Holder (as defined in “ Material U.S. Federal Income Tax Considerations of Holders of New Fold Common Stock and Emerald Class A Common Stock”) that exercises its redemption rights to receive cash from the Trust Account in exchange for its shares of Class A Common Stock will generally be treated as selling such shares of Class A Common Stock resulting in the recognition of capital gain or capital loss. There may be certain circumstances in which the redemption may be treated as a distribution for U.S. federal income tax purposes depending on the amount of shares of Class A Common Stock that such U.S. Holder owns (or is deemed to own), prior to and following the redemption. For a more detailed discussion of the U.S. federal income tax considerations of an exercise of redemption rights, see “ Material U.S. Federal Income Tax Considerations of Holders of New Fold Common Stock and Emerald Class A Common Stock — U.S. Federal Income Tax Considerations of Ownership and Disposition of New Fold Common Stock; Redemption of Emerald Public Shares.” Q.What are the U.S. federal income tax consequences of the Merger? A.Emerald and Fold intend the Merger to qualify as a “reorganization” within the meaning of Section 368(a) of the Code. If the Merger does qualify as a reorganization, the Fold U.S. Holders (as defined in “Material U.S. Federal Income Tax Consequences of the Merger to Holders of Fold Common Stock”) should not recognize gain or loss as a result of the exchange, pursuant to the Merger, of their Fold Common Stock for shares of New Fold Common Stock. For a more detailed discussion of the U.S. federal income tax consequences of the Merger to holders of Fold Common Stock, see “ Material U.S. Federal Income Tax Consequences of the Merger to Holders of Fold Common Stock.” Emerald, Fold, and holders of Emerald Common Stock who do not exercise their redemption rights should not recognize gain or loss for U.S. federal income tax purposes as a result of the Merger. Q.How do the Public Warrants differ from the Private Placement Warrants and what are the related risks