Source: Figure Technologies
Figure Technologies, Inc., a leading fintech company in both the home equity and blockchain space, announced today $65 million in series B equity funding.
This brings Figure's total equity funding to more than $120 million as it starts its second year of operations. Led by RPM Ventures and partners at DST Global, with participation from investors Ribbit Capital, DCM, DCG, Nimble Ventures, Morgan Creek and others, this round of financing will help Figure bolster its product offering and continue to support growth.
"We are encouraged by what we've accomplished in our first year, and this investment validates Figure's market potential," said Mike Cagney, co-founder and CEO at Figure. "We launched the fastest HELOC in the market, and we originate, finance and sell every one of our loans on the Provenance™ blockchain, an industry first. From the diversity of our founding team to our alignment with our members' financial success, we believe we're building a different — and better — kind of technology company."
Figure's flagship product, Figure Home Equity Loan Plus, is a fixed-rate loan that provides approval in as little as five minutes and funding in five days — all online. It also combines the best characteristics of a traditional home equity loan and a HELOC. It allows consumers to borrow against the equity in their homes without the paperwork-intensive, 45-day process traditional lenders require. Since September 2018, Figure has funded more than 1,500 HELOCs for members across 36 states.
Figure built and deployed Provenance, a distributed stakeholder blockchain, in 2018. The company leverages the security, efficiencies and cost advantage of blockchain for loan origination, financing and sales and has a diverse set of funds, banks and dealers active on Provenance today. While Figure was the first loan originator on Provenance, several other originators plan to use the platform by mid-2019. Additional use cases, such as investment funds on chain, are also planned for this year.
Continuing Momentum in Year Two
The team at Figure believes that Americans are facing a future retirement crisis. With 78 percent of Americans concerned about their retirement savings, people need to access the equity in their homes. To meet this need, Figure introduced Figure Home Advantage (FHA), a more transparent and straightforward alternative to reverse mortgages. FHA members can sell their homes to Figure, get cash up front and stay in place as renters for as long as they wish. Figure covers all expenses, including property taxes, upkeep and insurance. FHA is being rolled out across Texas, Illinois and Nevada now, with plans for a national rollout midyear. As with the Home Equity Loan Plus, Figure members will benefit from the speed and efficiency of the Provenance blockchain.
"Figure is empowering a more financially secure future for its customers with technology that seamlessly taps into the wealth they already have," said Alana Ackerson, co-founder and chief people officer at Figure. "This spirit extends to our company culture, where our values nurture a company with transparency and purpose at its core and, by extension, informs how we build and innovate."