Company: FLDDW
Filing Date: 2025-04-11
Form Type: 424B3
Source: 0001213900-25-031004
Chunk: 64

Company: Fold Holdings, Inc.
Filing Date: 2025-04-11
Form: 424B3
Chunk 64
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 industry. The lobbyists working for these competitors have similarly
spent years developing and working to implement strategies to advance these industries. Members of the cryptoeconomy have started to engage
policymakers directly and with the help of external advisors and lobbyists. However, this work is in a relatively nascent stage. As a
result, new laws and regulations may be proposed and adopted in the United States and internationally, or existing laws and regulations
may be interpreted in new ways, that harm the cryptoeconomy or crypto asset platforms, which could adversely impact our business. Additionally,
our political activities to further our mission may be perceived unfavorably by investors and the public and have an adverse impact on
our brand and reputation.

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Bitcoin is subject
to regulatory authority by the CFTC. Any fraudulent or manipulative activity in Bitcoin occurring through our products and services could
subject us to increased regulatory scrutiny, regulatory enforcement, and litigation.

The CFTC has stated and judicial
decisions involving CFTC enforcement actions have confirmed that Bitcoin falls within the definition of a “commodity” under
the CEA. As a result, the CFTC has general enforcement authority to police against manipulation and fraud in the Bitcoin market. From
time to time, manipulation, fraud, and other forms of improper trading by market participants have resulted in, and may in the future
result in, CFTC investigations, inquiries, enforcement action, and similar actions by other regulators, government agencies, and civil
litigation. Such investigations, inquiries, enforcement actions, and litigation may cause us to incur substantial costs and could result
in negative publicity.

Certain transactions
in Bitcoin may constitute “retail commodity transactions” subject to regulation by the CFTC as futures contracts. If Bitcoin
transactions we facilitate are deemed to be such retail commodity transactions, we would be subject to additional regulatory requirements,
licenses and approvals, and potentially face regulatory enforcement, civil liability, and significant increased compliance and operational
costs.

Any transaction in a commodity,
including Bitcoin, entered into with or offered to retail investors using leverage, margin, or other financing arrangements (a “retail
commodity transaction”) is subject to CFTC regulation as a futures contract unless such transaction results in actual delivery within
28 days. The meaning of “actual delivery” has been the subject of commentary and litigation, and in 2020, the CFTC adopted
interpretive guidance addressing the “actual delivery” of a crypto asset.