Blockchain
BTC Rewards App Fold Eyes Nasdaq Listing in $365M SPAC Deal
Bitcoin rewards app Fold is planning a public listing on the Nasdaq via a merger with special purpose acquisition company (SPAC) Emerald Acquisition Corp. (EMLD).
New York-based Fold offers a cashback debit card that provides rewards in bitcoin instead of the traditional rewards you might expect from other related products. Fold cards have processed more than $2 billion in volume and paid out more than $45 million in rewards, as announced on Wednesday.
The transaction, which was unanimously approved by the boards of directors of both companies, will have a pre-money equity valuation of $365 million. The post-transaction entity will also have more than 1,000 BTC ($67 million) on its balance sheet.
Fold has not yet disclosed the expected completion of the merger or the ticker under which it will be listed on the Nasdaq.
SPACs have been a popular way for cryptocurrency companies to go public during the last bull cycle. However, the start of the crypto winter in 2022 has seen several silenced SPACs delisted.
It is not yet clear whether this bull cycle will see more similar deals materialize. Financial Services Firm Bitcoin Swan canceled its SPAC plans on Mondayin the context of a reorganization that also involved the closure of its managed mining unit and staff cuts in several units.