Fold Holdings, Inc. Q4 FY2025 earnings call

Over the past year, Fold focused on building a Bitcoin financial services platform. Introduced new products like Bitcoin gift card, Fold Bitcoin credit card, and Bitcoin native solutions for corporate partners. In early October, Bitcoin's price drop led to reduced engagement, affecting Q4 metrics. The Fold Bitcoin Rewards credit card went live, with staggered rollout planned. Launched Bitcoin Bonus Program with Steak and Shake as first partner. Bitcoin gift card gaining traction with partnerships. Team rebuilt infrastructure and capital structure, eliminating convertible debt.

In Q4, Fold delivered 3,000 new verified accounts, bringing total verified accounts to more than 84,000, representing a nearly 20% increase year-over-year. Year-to-date total transaction volumes were $960 million, up 46% year-over-year. Q4 revenue was $9.1 million, an 8% increase over prior year same quarter. And full year 2025 revenues were $31.8 million, a 34% increase year-over-year.

2026 revenue growth expected from credit card rollout, consumer products expansion, and enterprise business growth. Premature to provide specific 2026 revenue figures as credit card just launched.

Bitcoin ecosystem pullback leading to reduced engagement across the industry, affecting trading, spending, and overall financial activity on Bitcoin platforms.

Q: What were revenues in the fourth quarter related to the Bitcoin gift card and details on cards sold?

A: Through Q3, Bitcoin gift card sales had about $740,000 in revenue in that line, and in Q4 added an additional $722,000, largely from the Bitcoin gift card.

Q: What's the size of the wait list for the credit card and how long to get cards to everyone?

A: Over 80,000 on the wait list, limiting factor is dialing fraud and risk controls, with stage gates for ramp up.

Q: Financial model behind the credit card versus other products?

A: Credit card has 2X interchange of debit card, higher credit line, designed for cross-sell and unit economic positive.

Q: Business development strategy for enterprise side, especially Steak and Shake?

A: Fold enables businesses to use its infrastructure for Bitcoin bonuses, has pipeline of new partners, with SaaS-style contracts.

Q: Customer acquisition costs for credit card wait list and annual volume for success?

A: Initial wait list has low acquisition cost, volume needs to transform the company on multiple axes.

Q: Pace of ramp up in active credit cards and funding receivables?

A: Primary limiter is fraud and risk controls, with stage gates, and funding from third-party facilities.

Q: User metrics from new app upgrade and how credit card launch fits?

A: Removed Fold Plus subscription, new app allows faster iteration, credit card launch pairs with new app for cross-sell.

Q: Costs associated with credit card scalability and balance sheet?

A: Scalability from honing models, not major new headcount, balance sheet focuses on operating company first.