Company: FLDDW
Filing Date: 2025-04-11
Form Type: 424B3
Source: 0001213900-25-031004
Chunk: 66

Company: Fold Holdings, Inc.
Filing Date: 2025-04-11
Form: 424B3
Chunk 66
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indices of securities. If Bitcoin is deemed to be a security, certain transactions referencing Bitcoin could constitute a security-based
swap. Bitcoin or a transaction therein that is based on or references a security or index of securities, whether or not such securities
are themselves crypto assets, could also constitute a security-based swap. To the extent that Bitcoin is deemed to fall within the definition
of a security-based swap, including pursuant to subsequent rulemaking or guidance by the CFTC or SEC, we may be subject to additional
regulatory requirements and oversight by the SEC and could be subject to judicial or administrative sanctions if we do not or did not
a relevant time possess appropriate registrations as an exchange (for example, as a security-based swaps execution facility) or as a registered
intermediary (for example, as a security-based swap dealer or broker-dealer). This could result in injunctions, cease and desist orders,
as well as civil monetary penalties, fines, and disgorgement, as well as reputational harm.

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If we or our third-party
providers fail to protect confidential information and/or experience cybersecurity incidents, there may be damage to our brand and reputation,
material financial penalties, and legal liability, which would materially adversely affect our business, results of operations, and financial
condition.

We rely on computer systems,
hardware, software, technology infrastructure and online sites and networks for both internal and external operations that are critical
to our business (collectively, “IT Systems”). We own and manage some of these IT Systems but also rely on third parties for
a range of IT Systems and related products and services, including but not limited to cloud computing services. We and certain of our
third-party providers collect, maintain and process data about customers, employees, business partners and others, including information
about individuals and their financial assets (such as Bitcoin), as well as proprietary information belonging to our business such as trade
secrets (collectively, “Confidential Information”).

We face numerous and evolving
cybersecurity risks that threaten the confidentiality, integrity and availability of our IT Systems and Confidential Information, including
from diverse threat actors, such as state-sponsored organizations, opportunistic hackers and hacktivists, as well as through diverse attack
vectors, such as social engineering/phishing, malware (including ransomware), malfeasance by insiders, human or technological error, and
as a result of malicious code embedded in open-source software, or misconfigurations, bugs