Fold has retired $66.3 million in convertible debt, removing a potential source of shareholder dilution and simplifying its capital structure as it expands its Bitcoin rewards business.
The publicly traded Bitcoin financial services company said it paid off two outstanding convertible notes, eliminating the possibility that the debt could later convert into equity and increase the company’s share count.
The repayment also freed 521 bitcoin that had been pledged as collateral against the notes, allowing the digital assets to be redeployed for general corporate purposes.
Fold said the restructuring reduces financing restrictions and provides greater operational flexibility as it prepares to roll out a consumer-focused credit card offering bitcoin rewards instead of traditional cashback or points.
Founded in 2019, Fold went public on the Nasdaq in February 2025 through a SPAC merger with FTAC Emerald Acquisition, becoming one of the first Bitcoin-centric financial services firms to list on a major US exchange.
The company’s core offering centres on a debit card that lets users spend US dollars while earning bitcoin rewards, alongside savings tools and merchant partnerships designed to encourage long-term accumulation.
Fold faces growing competition from crypto-linked payment products including Coinbase’s card, Nexo’s borrowing-backed card, and offerings from Bybit, Crypto.com, Mastercard and MetaMask, as digital asset rewards become an increasingly crowded segment.
At the time of reporting, Bitcoin price was $68,397.95.