Company: FLDDW
Filing Date: 2025-01-24
Form Type: 424B3
Source: 0001213900-25-006075
Chunk: 324

Company: Fold Holdings, Inc.
Filing Date: 2025-01-24
Form: 424B3
Chunk 324
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 increased by 2,502.9% in U.S. dollar terms since January 2019, making it among the best performing assets of the decade. The Bitcoin protocol includes programmatic, recurring events called “halvings”. Halving events reduce the block reward miners receive by 50%, which in turn reduces the supply of new bitcoin and leads to increased scarcity of new bitcoin. Halving events occur approximately once every four years and, historically, these events have been correlated with an increase in the bitcoin price. Historically, halvings have also proven to be beneficial for certain bitcoin -basedbusinesses. At Fold, this was evidenced through acceleration expansion of Fold’s user base from 2020 through 2021. Similar user expansion was seen at Coinbase in 2016 -2017and 2020 -2021.

| Year  |     | Fold’s EOP 
       User 
   Growth % |   |     | Bitcoin’s EOP 
         Price 
     Change %1 |    |
| 2019  |     |       49.5 | % |     |          92.2 | %  |
| 2020* |     |      196.9 | % |     |         303.2 | %  |
| 2021  |     |       84.5 | % |     |          59.7 | %  |
| 2022  |     |       10.7 | % |     |         (64.3 | )% |
| 2023  |     |        5.9 | % |     |         155.4 | %  |

____________ *Halving event occurred in this year (1)Source: market data from CoinMarketCap (August 26, 2024). We accordingly expect that the most recent halving from April 2024 may drive strong user growth in the near term. However, due to future halvings and continued mining of additional Bitcoin, eventually the programmatic supply limit of 21million bitcoin will be reached. Bitcoin currently has a circulating supply of approximately 19.78million. It is possible that future halving events combined with decreases in the number of Bitcoin available to be mined could reduce the utility of Bitcoin if fewer miners choose to validate transactions, or only seek to validate transactions with high associated fees. Higher network fees could cause customers to look to other digital assets instead of Bitcoin or to turn away from digital assets entirely.

199 Banking and payments The