Fold sells $45M Bitcoin, clears debt, stock up 162%
Get the Finance newsletter
Daily finance — markets, central banks, M&A, the prints that move money. Free.
- Fold Holdings sold roughly $45 million of Bitcoin at an average price of about $71,000 per coin.
- Fold Holdings used $20 million of the sale proceeds to retire all of its Bitcoin‑collateralized secured debt, leaving the firm debt‑free on those obligations.
- Fold Holdings redirected the remaining $25 million toward growth initiatives, including the rollout of its Bitcoin rewards credit card and other crypto‑focused products.
- Fold Holdings’ stock (FLD) surged as much as 162 % after the announcement, reaching $1.60 before settling around $1.10, a gain of over 80 % on the day.
- Fold Holdings reported Q1 revenue of $5.6 million, a 21 % decline from a year earlier, while its shares have fallen about 58 % YTD and 78 % over the past 12 months.
- CEO Will Reeves said the debt‑free balance sheet eliminates monthly interest payments, improves cash flow, and positions the company for “one of the most important growth periods” in its history.
Why it matters: The debt‑free balance sheet eliminates monthly interest outflows, improves cash flow and frees $25 million for product expansion, benefitting investors who see a sharp share rally while the company can accelerate its Bitcoin credit‑card rollout despite a 21 % revenue dip and may support new lending partnerships.
Ask SkimNews
