Key Takeaways
- Fold Holdings reported a $69.6M net loss in fiscal year 2025, with operating losses surging nearly 500% to $27.7M
- Annual revenue increased 34% year-over-year, reaching $31.8M; fourth-quarter revenue totaled $9M, representing 8% growth
- The firm eliminated two convertible bond agreements, avoiding future dilution but incurring a $9.6M non-recurring expense
- Bitcoin treasury was reduced by approximately 46%, dropping from 1,527 BTC to 827 BTC by mid-March
- Shares of FFLD declined 59% year-to-date in 2026 and plummeted 83.8% over twelve months; brief after-hours rally of 13.4% Tuesday reversed with a 4.46% drop Wednesday
Fold Holdings completed its inaugural full fiscal year as a publicly traded entity with mixed results: while revenue expanded significantly, the company’s losses accelerated dramatically. The Bitcoin-centric financial technology platform disclosed a net loss totaling $69.6 million throughout 2025, even as total revenue surged 34% to reach $31.8 million.
The disparity between revenue expansion and financial losses presents a concerning picture. Operating losses exploded from $5.8 million in the prior year to $27.7 million — representing an approximately 480% increase. The company’s adjusted EBITDA loss reached $17.2 million, translating to $0.41 per share.
A substantial portion of the net loss stemmed from a one-time expense of $9.6 million associated with extinguishing two convertible bond instruments. Chief Executive Officer Will Reeves characterized the move as “strategic housekeeping,” explaining that it “removes structural overhang and directs financing solely to the growth of our operating businesses.”
The remaining difference between operating losses and net losses appears to reflect non-cash accounting entries — including equity compensation, asset depreciation, and comparable adjustments that amplify reported losses under GAAP standards without depleting actual cash reserves.
Regarding user acquisition, Fold onboarded 13,000 additional users throughout 2025, elevating its verified account base to 84,000. Total transaction volume reached $960 million annually, marking a 46% increase. The fourth quarter alone processed $215 million in transactions, although this represented a 3% decline compared to the same quarter previously.
Expansion Into Credit Products
Fold recently introduced a Visa and Stripe-enabled Bitcoin Rewards Credit Card, broadening its cashback offering beyond debit transactions. The organization simultaneously unveiled Fold For Business, enabling enterprises to incorporate Bitcoin into compensation structures and treasury management systems.
Among its initial corporate partners is Steak ‘n Shake, which distributes employee bonuses through Bitcoin.
During the earnings discussion, CEO Reeves made an ambitious projection: “Bitcoin rewards will overtake airline miles as the preferred consumer reward in the US.”
He emphasized that card initiatives must “scale to millions of cardholders,” though enhanced fraud prevention and risk management systems are prerequisites before Fold can “really open the floodgates.”
The credit card initiative represents a capital-intensive undertaking for an organization already operating at a substantial loss. Credit products necessitate reserve requirements, sophisticated fraud detection infrastructure, and heightened regulatory compliance measures that debit offerings don’t demand. However, the American credit card industry facilitates approximately $5 trillion in annual transactions — capturing even a modest market share would dramatically exceed Fold’s present transaction volumes.
Significant Bitcoin Holdings Reduction
While Reeves emphasized expansion opportunities, Fold has been systematically liquidating its Bitcoin treasury. The company maintained 1,527 BTC at year-end 2024. By March 17, that position had contracted to 827 BTC — representing approximately a 46% reduction.
This treasury drawdown has paralleled persistent downward pressure on share valuation. FFLD has declined 59% year-to-date in 2026 and surrendered 83.8% of its market value over the trailing twelve-month period.
Following Tuesday’s earnings announcement, shares jumped 13.4% in extended trading to $1.27. However, Wednesday’s regular session saw those gains partially erased, with the stock declining 4.46% to settle at $1.07.
Fold begins 2026 with an improved capital structure, a newly launched credit product, and 84,000 active customers — yet faces escalating operational losses and a share price hovering near all-time lows.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
