In September 2025, Figure Technologies pulled off one of the most closely watched financial events of the year: a highly successful initial public offering that raised $787.5 million and gave the company a valuation of approximately $5.3 billion. The debut was not only a milestone for Figure itself, but also a signal that blockchain-based fintech companies are finally earning mainstream investor trust.
Figure’s IPO marked a turning point for an industry that has often oscillated between speculative hype and regulatory scrutiny. Unlike many crypto-linked ventures that lived or died by market cycles, Figure arrived at the stock market with profitability, a clearly defined business model, and a track record of streamlining the mortgage and lending industry using blockchain technology.
1. The Road to IPO
Figure Technologies was founded in 2018 by Michael Cagney, the former CEO of SoFi, and his wife and co-founder June Ou. Their idea was simple yet ambitious: leverage blockchain technology to radically simplify home equity loans and mortgages.
Traditionally, mortgage approvals in the United States take an average of six weeks, burdened by paperwork, middlemen, and verification processes. Figure’s proposition was bold—use its proprietary Provenance blockchain to automate large portions of the approval and settlement pipeline, cutting timelines from 42 days to just 10.
This pitch resonated with lenders, borrowers, and eventually regulators. Over seven years, Figure processed billions in loans, became a trusted partner to mortgage lenders, and proved that blockchain could power real financial products beyond speculative trading.
2. The IPO Mechanics
The offering itself was substantial:
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Shares sold: 31.5 million
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IPO price: $25 per share
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Funds raised: $787.5 million
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Valuation: $5.3 billion
The deal included 23.5 million newly issued shares from Figure and 8 million shares from existing shareholders. Underwriters also held an option to purchase additional shares, potentially increasing the total raised.
What stood out was the fact that Figure priced the IPO above the initially expected range of $20–$22, reflecting strong investor demand. On debut, the stock surged, briefly boosting the valuation above $7 billion before settling closer to its offering level.
3. Why Figure Stands Out
Figure’s IPO did not happen in isolation. It followed a series of crypto-related companies entering public markets, some more successfully than others. But unlike exchanges or token projects, Figure emphasized blockchain as infrastructure rather than speculation.
Key strengths included:
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Proven business model: More than $16 billion in home loans originated.
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Enterprise adoption: 10 of the top 20 mortgage companies use its platform.
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Profitability: Net income of about $29 million in the first half of 2025.
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Regulatory alignment: Licensed and compliant within the existing U.S. financial framework.
These factors allowed investors to view Figure less as a “crypto stock” and more as a fintech innovator that happened to use blockchain as its backbone.
4. The Founders’ Vision
Michael Cagney, who previously scaled SoFi into one of the most recognized digital lenders before stepping down amid internal controversies, approached Figure with lessons learned. His pitch was pragmatic:
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Do not market blockchain as a buzzword.
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Integrate it invisibly into lending infrastructure.
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Deliver measurable results in efficiency and cost savings.
June Ou complemented the vision with strong operational execution. Together, they built a company that avoided many pitfalls of over-hyped crypto startups.
5. Provenance Blockchain
At the heart of Figure’s business is Provenance, its proprietary blockchain. Designed specifically for financial services, Provenance allows lenders, banks, and borrowers to conduct transactions, verification, and settlement with speed and transparency.
The advantages include:
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Immutable records: Ensures trust in loan agreements.
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Smart contracts: Automate compliance checks and collateral management.
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Cost efficiency: Reduces intermediaries like title insurers and custodians.
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Scalability: Designed for high-volume financial transactions.
Unlike public blockchains such as Ethereum, Provenance was purpose-built for institutional use, which helped attract mainstream partners.
6. Investor Appetite
The success of the IPO also reflects a broader trend: Wall Street’s renewed interest in blockchain-based firms that focus on real-world use cases. After years of volatility in crypto markets, investors increasingly differentiate between speculative tokens and companies using blockchain to solve structural inefficiencies.
For institutional investors, Figure offered:
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Exposure to blockchain innovation without crypto’s extreme volatility.
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Strong fundamentals including revenue growth and profitability.
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Regulatory compliance within U.S. securities and lending frameworks.
This blend of growth and stability made Figure an attractive listing.
7. Comparison to Other Crypto IPOs
In the years preceding Figure’s IPO, several blockchain-linked firms tested public markets:
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Coinbase (2021): Entered public markets with huge fanfare but saw valuation collapse with the crypto bear market.
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Circle (2025): The USDC stablecoin issuer went public earlier this year, focusing on financial infrastructure.
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Bullish (2025): Another digital asset platform that successfully listed, signaling recovery of investor sentiment.
Figure’s IPO sits at the intersection of these stories. Like Circle, it leaned into financial infrastructure rather than speculation. Unlike Coinbase, its revenue does not depend on trading volumes but on lending and processing—arguably a more durable model.
8. Broader Market Context
Figure’s IPO arrived amid a shifting financial landscape:
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Interest rate cycles: With central banks gradually reducing rates, mortgage demand is expected to recover.
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Blockchain normalization: Regulators and institutions increasingly accept blockchain for settlement and verification.
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Fintech resilience: Despite pressures on neobanks, firms with profitable models continue to attract capital.
Against this backdrop, Figure represented both innovation and safety, a rare combination in financial markets.
9. Early Market Performance
On the day of trading, Figure’s shares jumped nearly 44% at the open, briefly valuing the company at more than $7 billion. While the stock later moderated, the strong debut reflected investor enthusiasm.
Analysts highlighted:
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Strong order book demand.
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Investor appetite for profitable fintechs.
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Confidence in blockchain-enabled lending.
The performance set Figure apart from earlier fintech IPOs that struggled to sustain momentum.
10. Risks and Challenges
Despite its success, Figure faces hurdles:
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Competition: Traditional mortgage giants and fintech newcomers are also digitizing loan processes.
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Regulatory oversight: Any shift in rules for blockchain settlement could complicate operations.
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Scalability pressures: Managing growth without compromising service quality is critical.
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Market dependency: Housing market slowdowns could affect loan origination volumes.
While investors rewarded Figure’s innovation, these risks underscore the fragile balance between growth and sustainability.
11. What It Means for Blockchain
The Figure IPO signals a new chapter for blockchain adoption. Instead of speculative tokens driving headlines, companies applying blockchain to real financial infrastructure are now winning investor trust.
Key implications:
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Legitimacy: Blockchain in mortgages, lending, and settlement is now mainstream.
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Investor shift: Capital is flowing to pragmatic blockchain use cases.
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Future IPOs: Opens the door for other blockchain-focused fintechs to go public.
For the industry, Figure’s success is validation that blockchain is not just an experiment—it is a competitive advantage.
12. Leadership and Culture
Cagney and Ou emphasize a culture of execution over hype. Unlike projects that relied on token speculation, Figure kept its focus on loans, lenders, and customers. This culture was pivotal in securing regulatory goodwill and investor confidence.
Their leadership has also been framed as a redemption arc for Cagney, who left SoFi under controversy but returned with a renewed focus on fundamentals.
13. Future Growth Plans
Post-IPO, Figure is expected to:
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Expand further into mortgage refinancing and home equity lending.
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Scale Provenance for institutional settlement across more asset classes.
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Explore adjacent services like tokenized private credit and secondary trading of loans.
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Grow internationally, leveraging blockchain to cut cross-border lending frictions.
With IPO capital, the company now has the firepower to scale aggressively.
14. A Symbol of Market Maturity
Perhaps the most important takeaway is what Figure’s IPO represents for the broader crypto and fintech industry: maturity. Where previous cycles were marked by speculative ICOs and volatile valuations, Figure demonstrated that blockchain can underpin profitable, regulated, and scalable businesses.
The company’s $5.3 billion valuation is not just about one firm; it is about a shift in investor psychology. Blockchain finance has moved from the fringes to the core of capital markets.
Conclusion
The story of Figure raising $787.5 million in its IPO at a $5.3 billion valuation is more than a headline—it is a symbol of how far blockchain has come. From early skepticism to mainstream adoption, from experimental projects to profitable businesses, Figure embodies the transition of blockchain from hype to infrastructure.
For investors, it represents a chance to back real innovation in lending and finance. For the fintech industry, it signals that the door to public markets is wide open—provided companies bring solid fundamentals. And for blockchain advocates, it is validation that the technology is no longer just about speculation but about solving real problems.
As Figure builds its post-IPO future, the company stands as both a pioneer and a bellwether. Its success or struggles will shape not only the future of blockchain lending but also the confidence of investors in the next wave of blockchain-driven IPOs.
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