Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 289

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 289
---
 are urged to consult their tax advisors regarding the effects of FATCA. 172 MATERIAL U.S. FEDERAL INCOME TAX CONSEQUENCES OF THE MERGER TO Holders of Fold Common Stock This section describes certain material U.S. federal income tax consequences for holders of Fold Common Stock that exchange, pursuant to the Merger, their Fold Common Stock for Emerald Class A Common Stock (referred to as New Fold Common Stock throughout the remainder of this discussion). This section is limited to U.S. federal income tax consequences and does not address estate or any gift tax consequences or consequences arising under the tax laws of any state, local or non -U.S. jurisdiction. This discussion does not describe all of the U.S. federal income tax consequences that may be relevant to you in light of your particular circumstances, including the alternative minimum tax and the Medicare tax on certain investment income. This section applies only to Fold U.S. Holders (as defined below) that hold such Fold Common Stock as a capital asset for U.S. federal income tax purposes (generally, property held for investment) and are not subject to the different consequences that may apply to holders that are subject to special rules under U.S. federal income tax law, such as: •financial institutions or financial services entities; •broker -dealers; •taxpayers that are subject to the mark -to -marketaccounting rules with respect to securities; •tax -exemptentities; •governments or agencies or instrumentalities thereof; •insurance companies; •regulated investment companies or real estate investment trusts; •entities or arrangements treated as partnerships or other flow -throughentities for U.S. federal income tax purposes; •U.S. expatriates or former long -termresidents of the United States; •persons who are required to recognize income or gain with respect to the Merger no later than the time such income or gain is required to be reported on an applicable financial statement under Section 451(b) of the Code; •persons that actually or constructively own five percent or more (by vote or value) of the outstanding Fold Common Stock; •the Sponsor or its affiliates, officers or directors; •persons that acquired their Fold Common Stock in connection with employee share incentive plans or otherwise as compensation, including pursuant to an exercise of employee share options or upon the issuance or vesting of restricted stock or restricted stock unit awards; •persons that hold their Fold Common Stock as part of a straddle, constructive sale, hedging, wash sale, conversion or