Fold Holdings, a US financial services company focused on Bitcoin, just bought a whopping 475 Bitcoin! This purchase makes them one of the top 10 US public companies with the most Bitcoin in their reserves.
A Massive Bitcoin Boost
This new purchase is almost a 50% increase in Fold’s total Bitcoin holdings, bringing their total to over 1,485 BTC. They paid for it by issuing a convertible note—a type of loan that can be converted into stock—at a premium.
Fold’s CEO, Will Reeves, is bullish on Bitcoin. He sees it as a cornerstone of the future of finance and believes holding a significant amount of Bitcoin is good for both shareholders and the company’s ability to develop new Bitcoin-based financial products. He sees the Bitcoin holdings as both an investment and a strategic reserve.
Market Reaction and Future Outlook
Fold’s stock price (FLD) jumped over 27% the day after the announcement, but has since dipped slightly. Despite the short-term fluctuation, the long-term outlook seems positive, especially given the growing interest in Bitcoin.
Bitcoin’s Growing Acceptance
The news comes on the heels of President Trump’s executive order to create a US Strategic Bitcoin Reserve (SBR). This move adds legitimacy to Bitcoin as a store of value, and is likely to inspire other countries to follow suit. This trend is already being seen with countries like El Salvador and Bhutan already holding significant Bitcoin reserves. Many corporations are also following this lead, with companies like Meliuz and Ricardo Salinas already making significant Bitcoin investments.
The Bitcoin Debate Continues
While the adoption of Bitcoin is growing rapidly, concerns about its volatility remain. Some still see it as more of a speculative asset than a reliable store of value. Despite this, the price of Bitcoin is currently around $90,192.
