Key Highlights
- Full-year 2025 net loss reached $69.6M, with operating losses expanding almost fivefold to $27.7M
- Total revenue increased 34% year-over-year to $31.8M; fourth quarter revenue reached $9M, representing an 8% gain
- Two convertible bonds were eliminated, erasing potential dilution but triggering a $9.6M one-time expense
- Bitcoin treasury holdings dropped approximately 46%, declining from 1,527 BTC to 827 BTC by March 17
- FFLD shares have declined 59% in 2026 year-to-date and tumbled 83.8% over the trailing 12 months; shares jumped 13.4% after-hours Tuesday before sliding 4.46% Wednesday
Fold concluded its inaugural year as a publicly traded entity with mixed results: while revenue expanded, losses ballooned significantly. The Bitcoin-centric financial technology company disclosed a $69.6 million net loss for 2025, even as revenue surged 34% to reach $31.8 million.
The disparity between revenue expansion and escalating losses tells a concerning story. Operating losses exploded from $5.8 million to $27.7 million — representing nearly a fivefold expansion. The company’s adjusted EBITDA loss totaled $17.2 million, translating to $0.41 per share.
A substantial portion of the net loss stemmed from a non-recurring $9.6 million expense associated with extinguishing two convertible bonds. Chief Executive Will Reeves characterized the move as “strategic housekeeping,” explaining it “removes structural overhang and directs financing solely to the growth of our operating businesses.”
The remaining difference between operating loss and net loss presumably reflects non-cash expenses — including stock-based compensation, depreciation, and comparable accounting charges that inflate GAAP numbers without consuming actual cash.
Regarding customer metrics, Fold onboarded 13,000 new users throughout 2025, pushing its total verified account base to 84,000. Annual transaction volume reached $960 million, representing a 46% increase. The fourth quarter alone generated $215 million in transaction volume, although this marked a 3% year-over-year decline.
Expansion Into Credit Products
Fold unveiled a Visa and Stripe-enabled Bitcoin Rewards Credit Card, expanding its cashback framework beyond debit transactions. The firm simultaneously introduced Fold For Business, enabling corporations to incorporate Bitcoin into compensation and treasury operations.
Among its early corporate adopters is Steak ‘n Shake, which now distributes employee bonuses in Bitcoin.
During the earnings discussion, CEO Reeves projected boldly: “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,” but acknowledged that enhanced fraud prevention and risk management systems are prerequisites before Fold can “really open the floodgates.”
The credit card venture represents a capital-intensive expansion for a business already generating substantial operating losses. Credit products demand reserve requirements, sophisticated fraud infrastructure, and rigorous compliance frameworks that debit offerings don’t necessitate. However, the American credit card industry processes approximately $5 trillion annually — capturing even a modest percentage would dramatically exceed Fold’s present transaction volumes.
Significant Bitcoin Holdings Reduction
While Reeves emphasized growth prospects, Fold has been systematically liquidating its Bitcoin reserves. The company maintained 1,527 BTC at 2024’s conclusion. By March 17, that position had contracted to 827 BTC — representing approximately a 46% reduction.
This liquidation period has aligned with persistent stock price deterioration. FFLD has plummeted 59% year-to-date in 2026 and has surrendered 83.8% of its market value over the preceding 12 months.
Following Tuesday’s earnings announcement, shares surged 13.4% in extended trading to $1.27. However, Wednesday’s regular session saw a reversal, with shares declining 4.46% to settle at $1.07.
Fold begins 2026 with restructured debt, a newly launched credit card offering, and 84,000 registered customers — but simultaneously faces accelerating losses and a stock price hovering near all-time lows.
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