Company: FLDDW
Filing Date: 2025-01-14
Form Type: S-4/A
Source: 0001213900-25-003167
Chunk: 100

Company: Fold Holdings, Inc.
Filing Date: 2025-01-14
Form: S-4/A
Chunk 100
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2024, 99% of our proprietary Bitcoin that we custody with BitGo was held in multi -signaturecold storage wallets, with the remainder held in self -managedhot wallets for operational purposes. Bitcoin that we hold in self -custodyis stored in an m -of-nmulti -signaturewallet administered by Unchained Capital and is therefore not held in a custodial wallet. Within this m -of-nwallet, Fold directly holds the number of private keys necessary to initiate a transaction, while Unchained holds a backup private key that can be used to restore a Fold key if necessary. Each of the private keys for our Unchained Capital wallet is stored in geographically separate locations. Bitcoin held on behalf of our customers is stored in one of three places: (1) directly at Fortress; (2) directly at BitGo, or (3) at BitGo in a sub -custodialarrangement with Fortress. (1)Bitcoin held on behalf of our customers directly at Fortress is held primarily in omnibus cold storage wallets for which Fortress controls the private keys. At any given time, approximately 90% of Bitcoin held in this capacity is held in omnibus cold storage wallets, with the remainder held in hot wallets used to facilitate customer withdrawals and other real -timeoperational needs. (2)Bitcoin held on behalf of our customers directly at BitGo is held primarily in omnibus cold storage wallets for which BitGo controls the private keys. At any given time, approximately 90% of Bitcoin held in this capacity is held in omnibus cold storage wallets, with the remainder held in hot wallets used to facilitate customer withdrawals and other real -timeoperational needs. (3)Fortress also utilizes BitGo as a sub -custodian. Within this sub -custodialarrangement, Fortress sends Fold customer funds to an omnibus BitGo cold storage wallet that is dedicated to Fold customer assets. Those funds are not commingled with Fold’s proprietary Bitcoin, BitGo’s other customers, or BitGo itself. BitGo controls the keys to this wallet. 100% of this Bitcoin is held in cold storage. As of September30, 2024, 79.4% of Fold customer Bitcoin was held directly at Fortress, 8.3% was held directly at BitGo, and 12.3% was held at BitGo in a sub -custodialcapacity for Fortress. We hold cash at Sutton Bank in accounts designated as for the benefit of our customers. We have also entered into