Todd Stevens, Chief Capital Officer of Figure Technology Solutions (NASDAQ:FIGR), described the company as a “blockchain marketplace” focused primarily on lending but also expanding into on-chain public equity. In a discussion covering product strategy, market conditions, and new partnerships, Stevens argued that blockchain-based settlement rails can reduce friction in capital markets and enable new features for both issuers and investors.
Figure’s view of blockchain as a settlement rail
Stevens said Figure is building infrastructure for a future in which “every asset will trade on a blockchain at some point.” He outlined several reasons he believes blockchain can improve capital markets processes, including what he characterized as transactional efficiencies and better access to information in real time.
On-chain equity: issuer and investor use cases
Stevens discussed Figure’s secondary offering of blockchain-native common stock and positioned Figure’s approach as “blockchain-centric” and “self-custodial,” contrasting it with models he described as digital “twins” of DTCC securities or synthetic representations.
From an issuer standpoint, Stevens said on-chain equity could provide a direct relationship with shareholders, which he contrasted with limited visibility into retail shareholders in traditional public markets. He provided examples of potential issuer-to-shareholder interactions enabled by programmability, including delivering rewards or distributing dividends more quickly once approved.
He also emphasized potential investor benefits, including the ability to lend equity into lending pools and capture economics he said are typically retained by prime brokers today. He added that tokenized shares could be used as collateral in borrowing relationships and could be held in a self-custody wallet.
Figure Connect: marketplace positioning and originator pitch
Stevens described Figure Connect as central to Figure’s strategy, saying the company “never stood out to be the world’s largest non-bank lender” and instead aims to connect “sources and users of capital” in a marketplace model.
He said the platform is designed to make it easier for originators to access investors without negotiating separate purchase agreements, and framed Figure’s role as an outsourced capital markets function that can help with whole-loan sales, securitizations, and warehouse financing. According to Stevens, Figure earns ecosystem fees while helping originators maximize “gain on sale” and focus on originating loans.
Private credit versus asset-based finance
Asked about concern in private credit, Stevens drew a distinction between direct lending and asset-based finance. He cited commentary he attributed to Bruce Richards regarding software exposure in different credit markets, and said some private credit strategies may be exposed to disruption and leverage risk.
Stevens said Figure operates in asset-based finance with over-collateralization, using the example of $100 of asset value backing $80 of securities. He added that Figure had recently completed a roughly $0.5 billion securitization that “cleared the market fine,” and cited a larger JPMorgan securitization as an example of continued market strength. He argued that market participants should not “paint everything with the same brush” when discussing private credit.
Democratized Prime, stablecoins, and expansion into new asset classes
Stevens described “Democratized Prime” as Figure’s effort to bring prime-brokerage-style access to a broader base by enabling decentralized finance (DeFi) liquidity to fund warehouse lending. He said Figure has traditional warehouse relationships with banks including JPMorgan and Goldman Sachs, and is also operating on Solana through the Kamino application, referencing a market size he described as roughly $580 million to $600 million including liquidity pools and pledged collateral.
He said the model enables competition between traditional finance and DeFi liquidity, and argued that DeFi’s lack of term structure requires borrowers to accommodate “instant liquidity.” Stevens suggested borrowers may ultimately use both a traditional warehouse and a Democratized Prime warehouse.
On stablecoins, Stevens said he expects stablecoins to become a key payment rail for tokenized assets and described Figure’s yield stablecoin as a security that has gone through an S-1 process and periodic filings, comparing it to a tokenized money market fund that can trade peer-to-peer. He also highlighted “atomic settlement” via smart contracts as a way to reduce asynchronous settlement risk.
Stevens also addressed Figure’s partnership with Agora Data, calling it the first third-party borrower coming onto Figure Connect. He said Agora is an auto finance originator with a high degree of automated origination and a “part-time capital markets outfit,” which he described as a fit for Figure’s outsourced capital markets services. He added that Figure is interested in large addressable markets, citing mortgage and auto, and mentioned other potential categories such as receivables financing and small business loans.
Finally, Stevens discussed first-lien lending as a growing part of Figure’s mix and attributed the company’s ability to compete to automation and speed. He said Figure can reach a lending decision in minutes and fund in days, and contrasted Figure’s origination costs with what he described as higher costs in traditional first-lien markets.
Looking ahead, Stevens said Figure plans to “stick to our knitting” by expanding product diversity and asset classes, increasing volume flowing through its marketplace, and reducing the need for market education as adoption grows.
About Figure Technology Solutions (NASDAQ:FIGR)
Figure is building the future of capital markets using blockchain-based technology. Figure’s proprietary technology powers next-generation lending, trading and investing activities in areas such as consumer credit and digital assets. Our application of the blockchain ledger allows us to better serve our end-customers, improve speed and efficiency, and enhance standardization and liquidity. Using our technology, we continue to develop dynamic, vertically-integrated marketplaces across the approximately $2 trillion consumer credit market and the rapidly growing approximately $4 trillion cryptocurrency and digital asset market.
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