Figure Technology Solutions, a technology platform streamlining the private credit and housing markets, announced the launch of Figure Connect, a first-of-its-kind blockchain-based multi-seller, multi-buyer marketplace of private credit loans.
Figure Connect brings Figure’s broad and deep capital markets buyer universe directly to Figure’s loan origination partners. With Figure Connect, originators can receive forward commitments from buyers, lock active bids, control loan pricing to balance profitability and volume, and deliver pools of loans into those commitments. This functionality is facilitated with common, standardized sale terms and documentation. Figure believes its loan origination partners now have unparalleled control over their business with committed liquidity, transparency, and informed loan pricing management – all integrated within Figure’s loan ecosystem.
Leveraging the power of the Provenance Blockchain, a distributed, proof-of-stake blockchain, Figure Connect is designed to drive efficiencies for loan buyers and sellers and reduce an often months-long settlement process into days. Figure Connect helps disintermediate the loan delivery process, standardizing key characteristics of loan pools and sale terms, and creating greater price certainty ahead of the initial loan origination. Ultimately, Figure believes this engenders market liquidity by adding certainty of funding to loan originators and collateral composition to loan buyers.
“Figure Connect marks another transformative step towards creating the first highly liquid private capital marketplace for loans, as we now offer unique certainty of funding to loan originators and standardization to loan buyers,” said Michael Tannenbaum, Chief Executive Officer of Figure.
“Figure Connect displaces legacy lending infrastructure and processes, without the burden of multiple intermediary parties at the end user's expense, and lays the foundation for a permanently liquid marketplace,” added Mike Cagney, Executive Chairman of Figure.
Figure Connect’s initial partners include The Loan Store, Movement Mortgage, Bayview Asset Management and Saluda Grade. The Figure Connect marketplace is now available to all other participants in Figure’s lending ecosystem.
“We are thrilled to be one of the first partners to have access to this pioneering marketplace, which we expect will ensure liquidity, optimize pricing, and provide unrivaled transparency, significantly benefiting our business. Figure continues to offer us more and more reasons to work with them,” said Phil Shoemaker, Chief Executive Officer of The Loan Store.