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TEXXR

Chronicles

The story behind the story

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Blockchain-based lender Figure upsizes its Nasdaq IPO and now plans to sell 31.5M shares priced between $20 and $22, aiming to raise up to ~$693M, up from $526M

Stablecoin issuer Figure Technologies on Tuesday increased the size and raised the price range of its initial public offering …

Reuters Echo Wang

Context & Ripple Effects

Figure moved from an earlier plan to offer 26.3 million shares at $18–$20, following its IPO filing that reported improved first-half profitability. The revised terms signal a larger public-market financing attempt for the blockchain-based credit company.

The demand indication was subsequently borne out when Figure and selling backers completed a $787.5M IPO at a higher price, followed by a strong first-day trading gain.

First-order effects

  • Figure and its selling backers seek a larger cash raise and a higher prospective valuation than under the previous 26.3 million-share proposal.
  • IPO buyers are offered a larger allocation, while the widened deal increases the amount of stock the market must absorb at listing.

Second-order effects

  • The revised terms provide a near-term market test of investor appetite for a lender whose pitch combines credit products with blockchain infrastructure.
  • A successful larger offering gives Figure more public-market validation relative to the $3.2B valuation it received in its 2021 private funding round, raising the benchmark for comparable fintech issuers seeking an IPO.

Third-order effects

  • If demand continues to support larger and higher-priced fintech listings, public equity markets may become a more credible financing route for mature private credit platforms rather than only a liquidity event for early backers.
  • The key structural question is whether investors value blockchain-enabled lending as a durable operating advantage or primarily price it on conventional credit-company earnings and risk.

The trend: Figure’s revised terms are one data point in the re-opening of public-market funding for profitable, scaled fintech and credit platforms.

Discussion

  • @kimnoreen Kim Noreen on bluesky
    Can you buy the stock with crypto?
  • @jawnpaulsarte @jawnpaulsarte on bluesky
    the entire premise of a company like this is “lightning fast approvals” which just seems like another way to say “really low standards” which thankfully has not been a problem in the lending industry in ages.  2008 might as well have been a century ago, what's the worry?  [embedd…