Figure Technology Solutions, a blockchain-native capital marketplace, has announced a significant milestone, with its Consumer Loan Marketplace now processing over $1 billion in loan applications weekly. This achievement follows a record-breaking second quarter, during which the marketplace’s volume surged by 132% to reach $4.3 billion.
Record Q2 Performance Fuels Growth
The substantial increase in volume was driven by growing recognition of the platform’s benefits for both capital seekers and investors. Michael Tannenbaum, CEO of Figure, highlighted during an earnings call on Thursday, August 13, that the company’s blockchain-based infrastructure and marketplace advantages are creating a compounding effect. He noted that prospects are increasingly drawn to the disruptive nature of the capital marketplace and its approaching liquidity levels comparable to those offered by established entities like Fannie Mae.
Figure Connect Drives Volume
A key contributor to this growth is Figure Connect, the company’s blockchain-based marketplace for private credit. Figure Connect accounted for $2.8 billion, or 65%, of the total Consumer Loan Marketplace volume in the second quarter, according to a press release. The expansion of Figure’s origination partner network also played a crucial role, with the number of partners—including mortgage banks, depositories, servicers, and FinTechs—growing by 102 during the quarter to a total of 489.
Investor Confidence and Platform Advantages
On the investor side, Tannenbaum stated that the platform continues to attract new participants who value its strong credit quality, transparent and rapid investor reporting, and the reduced third-party diligence costs inherent in its blockchain-based model. These factors contribute to a more efficient and trustworthy capital allocation process.
Forward-Looking Outlook and Strategic Acquisitions
Looking ahead, Figure anticipates its Consumer Loan Marketplace volume to range between $4.8 billion and $5.2 billion in the current quarter. The midpoint of this forecast represents a 102% year-over-year growth. Tannenbaum described the second quarter as Figure’s strongest ever and confirmed continued momentum into the third quarter, evidenced by the surpassing of $1 billion in weekly application volumes in early July.
Further bolstering its market position, Figure announced in June an agreement to acquire Kiavi, an AI-powered lending platform for residential real estate investors. This planned transaction is expected to add over $7 billion in new annual first-lien volume to Figure Connect and more than $100 million monthly to Figure’s Democratized Prime blockchain-native warehouse marketplace. Tannenbaum indicated during the call that key regulatory approvals for the acquisition are being received, with an anticipated closing by the end of the year.
