Company: FLDDW
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001013762-25-004107
Chunk: 277

Company: Fold Holdings, Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1A
Chunk 277
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 other states in the United States, which has created a patchwork of overlapping but different
state laws. For example, since the CCPA went into effect, comprehensive privacy statutes that share similarities with the CCPA are now
in effect and enforceable in Virginia, Colorado, Connecticut, Utah, Florida, Texas, and Oregon, and will soon be enforceable in several
other states as well. Similar laws have been proposed in many other states and at the federal level as well. Certain states have also
enacted new laws regulating specific types of personal information, such as health and biometric data or children’s data, some of
which impose onerous notice and consent obligations, prohibit certain personal information processing, and/or provide for a private right
of action. As a result, our processing of certain sensitive data, such as biometric data and geolocation data, in such states may subject
us to additional compliance obligations and expose us to increased risk of liability. Moreover, the FTC and state attorneys general have
focused particular attention on the processing of biometric data in recent years, which elevates the risk of our processing of such
data even in states that have not enacted specific laws.

Additionally, we may be considered a “financial
institutions” under the Gramm-Leach Bliley Act (the “GLBA”). The GLBA regulates, among other things, the use of certain
information about individuals (“non-public personal information”) in the context of the provision of financial services, including
by banks and other financial institutions. The GLBA includes both a “Privacy Rule,” which imposes obligations on financial
institutions relating to the use or disclosure of non-public personal information, and a “Safeguards Rule,” which imposes
obligations on financial institutions and, indirectly, their service providers to implement and maintain physical, administrative and
technological measures to protect the security of non-public personal financial information. Any failure to comply with the GLBA could
result in substantial financial penalties. Moreover, in recent years, regulators such as the CFPB have proposed rulemaking packages
focused on implementing additional oversight on large nonbank payment companies, including digital wallet services, which could indirectly
affect our business. Increased regulatory scrutiny on data use and consumer protection practices in this industry may require us to adjust
our data management protocols and modify our partnerships with digital wallets and payment apps that fall under the new regulations, potentially
impacting our business, results of operations, and financial condition.

Further, laws