Fold Holdings closed 2025 with higher revenue but weaker profitability, a combination that captures where the company is in its transition. The business is growing, but that growth is being purchased through heavier spending, wider losses, and a more aggressive push into bitcoin-based consumer products. In the fourth quarter, Fold generated $9.1 million in revenue, up 8% from a year earlier, while full-year revenue reached $31.8 million, about 34% above 2024.
That top-line growth did not translate into stronger earnings. Fold’s financial picture showed a business still investing ahead of scale rather than converting momentum into profit. The company posted a full-year net loss of $69.6 million, while operating loss widened to $27.8 million and adjusted EBITDA came in at negative $17.2 million. Revenue also landed below a $10.12 million analyst estimate, adding pressure to management’s broader growth narrative.
A growth strategy built around bitcoin rewards
Fold is increasingly reshaping itself around one central idea: making bitcoin rewards part of everyday consumer finance. The company is moving away from a model driven mainly by transaction activity and toward one built on cards, rewards infrastructure, and enterprise partnerships. Management said transaction volumes grew meaningfully during the year and verified accounts rose nearly 20% to more than 84,000 users, although market volatility weighed on trading-related activity in the fourth quarter.
That strategic shift is most visible in the Bitcoin Rewards Credit Card. Fold is treating the card as its primary growth engine and as the clearest path to embedding bitcoin into mainstream spending habits. The product offers up to 4% cashback paid in bitcoin, with management emphasizing that rollout is being paced carefully while fraud and risk controls are tightened before wider issuance.
The company is also building surrounding products to reinforce that ecosystem. Fold is trying to create a broader bitcoin-rewards network rather than relying on a single flagship card. Its Bitcoin Gift Card posted about 20% month-over-month growth and contributed roughly $722,000 to fourth-quarter custody and trading revenue, while retail distribution expanded through partners including Kroger. At the same time, enterprise services began to take shape through pilot agreements such as an employee-rewards program with Steak ’n Shake.
Balance-sheet changes show a company buying time and flexibility
Fold also used the period to simplify its capital structure. Management chose to clean up the balance sheet even as it reduced direct bitcoin exposure. The company eliminated $66.3 million in outstanding convertible debt and cut its bitcoin treasury from 1,527 BTC to 827 BTC, a 46% reduction as of March 17, 2026. Fold presented those decisions as necessary steps to improve flexibility and preserve runway for upcoming product launches.
Investor reaction reflected the tension in the story. The market is weighing real revenue growth against the reality of persistent losses and uncertain unit economics. Fold shares were volatile around the earnings release, rising in after-hours trading before weakening again in the regular session, with the stock still reported well below prior levels on a year-to-date and 12-month basis.
The bigger question now is whether bitcoin rewards can become a durable consumer habit rather than a niche incentive. Fold’s thesis is ambitious: it wants bitcoin rewards to compete directly with the entrenched economics of airline miles and traditional loyalty programs. That will depend less on headline launches and more on execution, especially acquisition costs, fraud losses, custody margins, and the ability of enterprise partnerships to scale in 2026. For now, Fold looks like a company still proving that revenue growth can turn into a sustainable rewards business.
