Company: FLDDW
Filing Date: 2025-04-11
Form Type: 424B3
Source: 0001213900-25-031004
Chunk: 48

Company: Fold Holdings, Inc.
Filing Date: 2025-04-11
Form: 424B3
Chunk 48
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, and materially and adversely affect our business.

Our software, hardware, systems,
and processes may contain undetected errors or vulnerabilities that could have a material adverse effect on our business, particularly
to the extent such errors or vulnerabilities are not detected and remedied quickly. We have from time to time found defects in our user-facing
software and hardware, internal systems, and technical integrations with third-party systems, and new errors or vulnerabilities may be
introduced in the future. If there are such errors or defects in our software, hardware, or systems, we may face negative publicity, government
investigations, and litigation. Additionally, we rely on a limited number of component and product suppliers located outside of the U.S.
to manufacture our products. As our hardware and software services continue to increase in size and complexity, and as we integrate new,
acquired subsidiaries with different technology stacks and practices, these risks may correspondingly increase as well.

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In addition, we provide incremental
releases of product and service updates and functional enhancements, which increase the possibility of errors. Any errors, data leaks,
security breaches or incidents, disruptions in services, or other performance problems with our products or services caused by external
or internal actors could hurt our reputation and damage our business. Software and system errors, or human error, could delay or inhibit
settlement of payments, result in over settlement, cause reporting errors, or prevent us from collecting transaction-based fees, or negatively
impact our ability to serve our users. Similarly, security breaches or incidents, which may be caused by or result from cyber-attacks
by hackers or others, computer viruses, worms, ransomware, other malicious software programs, security vulnerabilities, employee or service
provider theft, misuse or negligence, phishing, identity theft or compromised credentials, denial-of-service attacks, or other causes,
could impact our business and disrupt the proper functioning of our products or services, cause errors, allow loss or unavailability of,
unauthorized access to, or disclosure of, proprietary, confidential or otherwise sensitive information of ours or our users, and other
destructive outcomes. Any of the foregoing issues could result in costly and time-consuming efforts to redesign and redistribute our products,
give rise to regulatory inquiries and investigations, and result in lawsuits and other liabilities and losses, which could have a material
and adverse effect on our business.

Key business metrics
and other estimates are subject to inherent challenges in measurement and to change as our business evolves, and our business