Company: FLDDW
Filing Date: 2025-07-11
Form Type: S-1
Source: 0001213900-25-062935
Chunk: 324

Company: Fold Holdings, Inc.
Filing Date: 2025-07-11
Form: S-1
Chunk 324
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 used by the CODM to evaluate performance is operating income (loss) as shown on the statements of operations. Segment expenses and other segment items are provided to the CODM on the same basis as disclosed in the statements of operations.

The CODM does not evaluate performance or allocate resources based on segment assets, and therefore such information is not presented in the notes to the financial statements.

Capitalized software development costs, net

The Company capitalizes significant costs incurred in the acquisition or development of the internal software for use in the Company’s various service offerings. The Company incurs costs in developing software inclusive of direct external costs and internal payroll costs. Internal payroll costs typically include salaries and wages. Capitalized software costs are stated at cost net of accumulated amortization. Amortization is provided utilizing the straight-line method over the estimated useful life of the software, which is three years. Costs incurred in the preliminary and post-implementation phases of the Company’s internal use software are expensed as incurred.

Capitalized software development costs consisted of the following:

|                                             |     |   | March 31, 
      2025 |   |     |   | December 31, 
         2024 |   |
|:--------------------------------------------|:----|:--|----------:|:--|:----|:--|-------------:|:--|
| Capitalized software, gross carrying amount |     | $ | 1,752,449 |   |     | $ |    1,486,228 |   |
| Less: accumulated amortization              |     |   |  (577,234 | ) |     |   |     (486,163 | ) |
| Capitalized software, net carrying value    |     | $ | 1,175,215 |   |     | $ |    1,000,065 |   |

The gross carrying amount of internally developed software costs that had been capitalized but not placed into service is as follows:

|                                              |     |   | March 31, 
      2025 |     |   | December 31, 
         2024 |
|:---------------------------------------------|:----|:--|----------:|:----|:--|-------------:|
| Capitalized software not placed into service |     | $ |   555,534 |     | $ |      348,058 |

During the three months ended March 31, 2025 and 2024, the Company recorded amortization expense on capitalized software development costs placed in