First Digital Trust, the firm behind the FDUSD stablecoin, announced early last month that it had signed a business combination agreement that would result in it being publicly listed, with a closing expected next year.

The announcement comes after the market capitalization of its flagship product, FDUSD, collapsed, losing over $4 billion since its peak in April 2024.

Binance is in a good position to benefit from this public listing, as a Binance-related entity, Alphanest Holdings, is a major warrant holder in this firm.

Alphanest is currently owned by Binance Holdings (IE) Limited and was previously owned by Binance founder Changpeng Zhao, who was recently released from prison.

This warrant, if executed, will result in this Binance entity holding approximately one-quarter of the equity in this firm after the merger.

In anticipation of this potential merger and in light of the recent difficulties for both First Digital and Binance, Protos took a deep dive into the finances and information that have been shared so far.

The market cap collapse of FDUSD is only one of the financial difficulties that First Digital Trust is facing, with its revenue also falling substantially. The firm will have a pre-money valuation of $250 million for this merger.

First Digital’s provided investor presentation shows that for fiscal year 2025 (which it concluded on June 30, 2025), it had $87 million in revenue, and for its unaudited 2026 revenue (which presumably also ended in June), it has merely $27 million.

Even worse than that, the chart shows that for 2025 it had a net revenue of $6 million, $10 million more than the net revenue loss of $4 million for 2026.

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