Blockchain-based FinTech Figure Technologies, Inc. rolled out Figure Equity Solutions on Wednesday (Dec. 8), which lets private companies raise, manage and trade equity on the same platform.
Figure Equity Solutions supports primary and secondary equity offerings with automatic cap table updates both before and after the transaction.
Figure showed off the power of Figure Equity Solution by closing a secondary offering through its SEC-registered trading platform, in which the shares were traded bilaterally and featured instant settlement and minimal counterparty risk.
The debut transaction also used USDF, a bank-backed, digital marker that triggers real-time settlement of securities transactions on the Provenance Blockchain.
“Figure Equity Solutions is the one-stop solution to help startups to raise capital, manage their cap table, and offer a seamlessly integrated platform for secondaries,” Mike Cagney, co-founder and CEO of Figure, said in the company announcement.
“While we are publicly unveiling this platform today, hundreds of companies have already moved their cap table to the platform, some of whom are currently raising capital, and two secondaries have already been completed,” he said.
Since its inception, Figure Equity Solutions users have managed, raised and traded more than $4.7 billion in equity on the platform.
The platform also eliminates the need for intermediaries and yields more than 50% savings on transaction fees.
“Our platform streamlines the user experience by combining capabilities and eliminating the need to go to multiple providers like Intralinks, NASDAQ Private Market and Carta,” TJ Milani, general manager of Figure Equity Solutions, said in the announcement.
In August, Figure entered into a strategic partnership with New York Community Bancorp (NYCB) to work together on blockchain initiatives.
The deal planned to add more financial inclusion in banking and credit, cut down costs in the mortgage business and engineer a more inclusive payments system. Figure launched the first version of the loan securitization feature on Provenance blockchain in March 2020.
In May, the company’s valuation sat at $3.2 billion, after it raised $200 million in a Series D round.