Figure Technologies has raised $200 million in a Series D funding round, valuing the blockchain-focused financial services firm at $3.2 billion, the company announced in a press release emailed to PYMNTS.
Figure, founded by SoFi founder Mike Cagney in 2018, will use the funding to support further growth for the company and its blockchain, Provenance, the release stated. The firm uses Provenance to provide equity management, loan origination, payment, banking and private fund services.
“The speed, transparency, finality and cost-efficiency of Provenance blockchain will be an improvement to the systems and framework that exist in the traditional financial world,” said Dan Tapiero, general partner of 10T Holdings, which co-led the funding round along with Morgan Creek Digital, in the release.
Financial institutions (FIs) are increasingly adopting blockchain solutions for processing transactions, thanks to the technology’s ability to process in real time, save on costs and keep permanent records of exchanges, PYMNTS reported.
“This investment is going to give us the resources we need to further fuel our mission of leveraging blockchain to reinvent the financial services industry,” Cagney said in the release.
As Figure builds out its blockchain and blockchain applications, the company is also eyeing a national bank charter, which will allow the firm to reach more consumers, particularly the underbanked population. Its untraditional financial services offerings help expand consumer access to loans in a tough credit environment.
“What we’re doing is looking at things like transaction history and geolocation, and other factors that will give us some confidence to underwrite credit into that demographic and help them build a history,” Cagney told PYMNTS in November.