Company: FLDDW
Filing Date: 2025-01-22
Form Type: S-4/A
Source: 0001213900-25-005202
Chunk: 354

Company: Fold Holdings, Inc.
Filing Date: 2025-01-22
Form: S-4/A
Chunk 354
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 of rewards that will expire based on historical data, current user trends, and other factors and accrues for those amounts in the period those rewards were earned. These accruals are accounted for as a contra -expensewithin marketing expense for Marketing Rewards. 220 The other portion of marketing expense primarily relates to advertising and other promotional expenses. Professional fees Professional fees consist primarily of expenses related to fees paid for services, including legal, tax, and accounting services. Gain (loss) on customer rewards liability Gain (loss) on customer rewards liability includes components of unrealized gains (losses) resulting from the remeasurement in fair value of Revenue Rewards and Marketing Rewards denominated in bitcoin in the current reporting period, as well as realized gains (losses) that occur upon the fulfillment of Rewards. Management has determined that gains or losses on digital assets held for purposes of fulfilling Rewards are related to its core operations, and therefore will classify all gains and losses on the remeasurement of this liability as an operating income or expense in its financial statements. Gain (loss) on digital assets — rewards treasury Gain (loss) on digital assets — rewards treasury includes components of unrealized gains (losses) resulting from the remeasurement in fair value of bitcoin held by Fold in our Rewards Treasury in the current reporting period as well as realized gains (losses) that occur upon the fulfillment of Rewards. Management has determined that gains or losses on digital assets held for the purposes of rewards redemptions are related to its core operations, and therefore will classify all gains and losses on the remeasurement of these digital assets as an operating income or expense in its financial statements. Other selling, general and administrative expenses Other selling, general and administrative expenses consist primarily of costs associated with contract labor, computer and internet, dues and subscriptions, and travel. Other income (expense) Gain (loss) on digital assets — investment treasury Gain (loss) on digital assets — investment treasury includes components of unrealized gains (losses) resulting from the remeasurement in fair value of bitcoin held by Fold with the intention to hold as a long -terminvestment in the current reporting period. Management has determined that gains or losses on digital assets held as a long -terminvestment are not related to its core operations, and therefore will classify all gains and losses on the remeasurement of these digital assets as a non -operatingincome or expense in its financial statements. Change in fair value of SAFEs Change in fair value of SAFEs results from unrealized gain or loss due to