Company: FLDDW
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001013762-25-004107
Chunk: 1013

Company: Fold Holdings, Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 5
Chunk 1013
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,192 shares for
a total of $96,791,644. On January 19, 2024, in connection with the approval of the January Charter Amendment at the January Meeting,
the Company’s stockholders exercised their right to redeem 10,872,266 shares for a total of $115,489,643. On December 17, 2024,
in connection with approval and implementation of the Third Charter Amendment at the Third Extension Meeting, the Company’s stockholders
exercised their right to redeem 112,068 shares for a total of $1,234,852. The Company evaluated the classification and accounting of the
stock redemptions under ASC 450, “Contingencies”. ASC 450 states that when a loss contingency exists the likelihood that the
future event(s) will confirm the loss or impairment of an asset, or the incurrence of a liability can range from probable to remote. A
contingent liability must be reviewed at each reporting period to determine appropriate treatment. The Company evaluated the current status
and probability of completing a Business Combination as of December 31, 2024, and concluded that it is probable that a contingent liability
should be recorded. As of December 31, 2024, the Company recorded $1,167,245 of excise tax liability calculated as 1% of shares redeemed
on January 19, 2024 and 1% of the shares redeemed on December 17, 2024.

On October 31, 2024, the Company filed its 2023
Excise tax return and paid the excise tax of $967,916 related to the share redemptions that occurred during the period from January
1, 2023 to December 31, 2023. As of December 31, 2024 and 2023, $1,167,245 and $967,916 was recorded as excise tax payable on the accompanying
balance sheets.

NOTE 3. INITIAL PUBLIC OFFERING

On December 20, 2021, the Company consummated
its Public Offering of 22,000,000 Units at a purchase price of $10.00 per Unit. Each Unit consists of one share of Class A common stock
and one-half of one redeemable warrant (the “Public Warrants”). On January 11, 2022, the underwriter partially exercised its
over-allotment option, resulting in the sale on January 14, 202