Fold Holdings Dumps $45M In Bitcoin To Clear Debt, Stock Briefly Pumps Over 130%
Fold Holdings, Inc. (NASDAQ: FLD), the bitcoin financial services company behind a suite of consumer rewards products, announced a series of capital transactions designed to eliminate secured debt, strengthen its balance sheet, and fund the next phase of its growth strategy.
The company raised about $45 million in bitcoin at a price of about $71,000 per coin, used $20 million of that money to retire bitcoin-collateralized debt, and directed the remaining $25 million toward growth plans across its consumer and business platforms.
The moves leave Fold debt-free on the secured side while preserving a bitcoin treasury of around 1,492 BTC – worth around $95 million at current prices.
Fold’s stock rose to $1.50 in early trading, up more than 130% on the day. Since then, the stock has fallen below $1, up only 30% on the day.
The main activity is tied to comprehensive debt restructuring. Fold returned approximately $66.3 million in convertible notes, a position it originally built in March 2025 when the company added 475 BTC to its treasury with those same instruments. The debt write-off released 521 BTC that was locked up as collateral, giving management more flexibility over the company’s bitcoin holdings going forward.
“We have reduced financial risk, strengthened our balance sheet, and ensured that short-term market volatility will not impede the execution of our guidance,” said Will Reeves, Chairman and CEO. “As we approach more product launches, we believe that Fold is entering one of the most important periods of growth in the company’s history.”
Fold credit card and new products
Fold’s flagship product, its Bitcoin Rewards Credit Card, is at the center of management’s growth thesis.
Eliminating debt removes monthly interest payments from the cost base and, in Reeves’ submission, gives the company the flexibility to support a larger cardholder base and pursue sponsorship relationships that take part in the card program’s economy as it grows.
The company also has a $45 million revolving credit facility backed by bitcoin collateral and a $250 million equity purchase facility aimed at future bitcoin accumulation – tools that reflect the company’s financial playbook that Fold has committed to since going public on February 19, 2025, through the merger of SPAC and FTAC Emerald Acquisition.
The restructuring comes after a real boost to the business. Fold’s 2025 fiscal year revenue reached $31.8 million, a 34% year-over-year increase, driven by transaction volume of nearly $960 million during that period.
Since launching in 2019, the company has processed more than $2 billion in total transactions and distributed more than $45 million in bitcoin rewards to users, the company said.
The combination of a debt-free balance sheet, an active revenue engine, and a treasury that maintains exposure to bitcoin appreciation gives Fold a capital structure that executives say is designed for the current environment — where bitcoin financial products benefit both consumers and institutional financial partners.
“Over the past year, we’ve built the strongest product roadmap in our history,” said Reeves. “Increased capital and low debt ensures we have the resources and flexibility to carry out our plans at this critical time for the Fold.”
