The rewards app Fold, which operates on the Bitcoin platform, has revealed intentions to become a publicly traded company on the Nasdaq with an estimated valuation of $365 million. Fold has entered into an agreement to go public through a business merger with the special purpose acquisition company (SPAC) FTAC Emerald Acquisition, as stated on July 24.
Contrary to a conventional IPO, in a SPAC transaction, a private company becomes publicly traded by combining with a shell company, instead of issuing and selling new shares on a public exchange.
After finalizing the SPAC deal, Fold will debut on the Nasdaq with a ticker symbol that has not been disclosed yet.
Fold is an app for debit card cashback that enables customers to pay for everyday purchases and bills using both fiat currency and Bitcoin at online and physical stores. Users receive varying rewards denominated in Bitcoin for their transactions made through the app.
Existing shareholders of the payments app will face a six-month lock-up period, which may be adjusted if the company's share price surpasses $12 within 90 days of Fold's listing on the Nasdaq.
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