Company: FLDDW
Filing Date: 2025-04-11
Form Type: 424B3
Source: 0001213900-25-031004
Chunk: 31

Company: Fold Holdings, Inc.
Filing Date: 2025-04-11
Form: 424B3
Chunk 31
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 vendors, reduced quality in services For example, while our business and operations were not
materially affected by the closures of Silvergate Capital Corp. and Signature Bank and the cessation of their real-time fiat currency
payment networks in March 2023, large cryptoeconomy participants experienced a temporary inability to transfer fiat currencies outside
of standard business hours.

We also rely on insurance carriers
to insure customer losses resulting from a breach of our physical security, cyber security, or by employee or third party theft. Our ability
to maintain crime, specie, and cyber insurance is subject to the insurance carriers’ ongoing underwriting criteria and our inability
to obtain and maintain appropriate insurance coverage could cause a substantial business disruption, adverse reputational impact, inability
to compete with our competitors, and regulatory scrutiny.

Any significant disruption
in our products and services, in our information technology systems, or in blockchain networks related to our business, could result in
a loss of customers or funds and adversely impact our brand and reputation and our business, operating results, and financial condition.

Our reputation and ability to
attract and retain customers and grow our business depends on our ability to operate our service at high levels of reliability, scalability,
and performance, including the ability to process and monitor, on a daily basis, a large number of transactions that occur at high volume
and frequencies across multiple systems. Our platform, the ability of our customers to trade, and our ability to operate at a high level,
are dependent on our ability to access the blockchain networks underlying Bitcoin, for which access is dependent on our systems’
ability to access the internet. Further, the successful and continued operations of such blockchain networks will depend on a network
of computers, miners, and validators, and their continued operations, all of which may be impacted by service interruptions.

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Our systems, the systems of our
third-party service providers and partners, and certain blockchain networks have experienced from time to time, and may experience in
the future service interruptions or degradation because of hardware and software defects or malfunctions, computer viruses or other malware,
distributed denial-of-service and other cyberattacks, disruptions in telecommunications services, insider threats, break-ins, sabotage,
human error, vandalism, earthquakes, hurricanes, floods, fires, and other natural disasters, power losses, fraud, military or political
conflicts, terrorist attacks, or other events. In addition, extraordinary volumes of usage could cause our computer systems to operate
at an unacceptably slow speed or even