Fold Loses 69.6 Million Annually, Pivots Strategy, Bets on Bitcoin Credit Card Expansion

Nasdaq-listed Bitcoin financial services company Fold (Stock Symbol: FLD) submitted its 2025 annual report on March 18, reporting a net loss of $69 million for the year. As of the report submission, FLD’s stock price had fallen to $1.07, a 61% decline since the beginning of the year. Fold management positions the newly launched Bitcoin rewards credit card as a key strategic lever for expanding the customer base in the next phase.

Key Financial Indicators for 2025

The core data from Fold’s 2025 annual report are as follows:

Net Loss: $69 million (significantly larger than the previous year)

Adjusted EBITDA Loss: $17.2 million; adjusted loss per share $0.41

Annual Revenue: $31.8 million (up 34% year-over-year)

New Customers: 13,000; total verified accounts reach 84,000

Total Transaction Volume: $960 million (up 46%); paid transaction volume $215 million (up 3%)

Bond Repayment Expenses: Paid over $9.6 million to settle two convertible bonds

Fold Chairman and CEO Will Reeves stated that 2025 is the company’s “first full year as a public company,” achieving the performance targets set at the start of the year and continuing to lay the groundwork for the Bitcoin-native financial services ecosystem.

Bitcoin Credit Card: A Core Bet to Expand Target Markets

Fold’s latest Bitcoin rewards credit card is currently emphasized by management as a growth engine. Supported jointly by Visa and Stripe, this credit card allows users to earn up to 4% Bitcoin cashback on everyday purchases, directly credited to the cardholder’s account.

Will Reeves emphasized that the strategic significance of this credit card goes far beyond the product itself: “It should genuinely expand our target market by increasing wallet share, improving unit economics, and accelerating cross-selling between debit cards, credit cards, merchant rewards, and gift cards.” He expects this product to attract new user groups who have not previously used Fold services, fundamentally broadening the customer base.

Fold For Business and Bitcoin Reserves Expansion

This quarter, Fold launched the Fold For Business division, providing Bitcoin-native solutions for corporate payroll and financial operations. A known case is the fast-food chain Steak 'n Shake, which is currently using Fold to distribute Bitcoin bonuses to employees.

In terms of capital structure, Fold repaid over $9.6 million in expenses to settle convertible bonds. Management stated this move “simplifies the balance sheet and eliminates structural burdens.” Additionally, Fold completed a $250 million equity purchase financing in June last year, dedicated to expanding Bitcoin reserves, and currently holds 1,527 BTC.

Frequently Asked Questions

Q: What are the main reasons for the increased losses in Fold’s 2025 report?
The significant increase in losses is mainly due to business expansion costs, over $9.6 million paid to settle two convertible bonds, and ongoing investments to launch new products like the Bitcoin credit card. Although revenue grew 34%, it was not enough to offset the overall expansion-related losses.

Q: What are the core features of Fold’s Bitcoin credit card?
Supported jointly by Visa and Stripe, Fold’s Bitcoin rewards credit card allows users to earn up to 4% Bitcoin cashback on daily spending, which is directly credited to their accounts. Management views it as a key tool for expanding the customer base and enhancing cross-sales within the ecosystem.

Q: What is the current size of Fold’s Bitcoin reserves?
Fold currently holds 1,527 BTC. The reserves were expanded through the $250 million equity financing completed in June last year, reflecting the company’s long-term strategic positioning as a Bitcoin-native financial services firm.