Figure Technologies has applied for a national bank charter that would simplify compliance and cut costs for the blockchain-based consumer lending startup.
- Former SoFi executive Mike Cagney’s fintech company is seeking the Office of the Comptroller of the Currency’s approval to offer its home equity loans and financing services across the U.S.
- Currently, Figure has 96 licenses from 49 states, and CEO Cagney says that without the national charter it could end up with 200 licenses by next year. Being regulated as a national bank would replace that expensive hodgepodge with a single overseer.
- Figure’s Provenance platform is the tech unicorn’s claim to fame. The company says the blockchain platform is far more efficient at processing loans than traditional mechanisms.
- In March, Figure conducted on-chain every step of a $150 million home equity loan securitization.
- SoFi, Cagney’s previous company, was approved for a national bank charter by the OCC last month. It was the online lender’s second attempt; the fintech tried unsuccessfully when Cagney still ran it a few years ago.
UPDATE (Nov. 6, 20:20 UTC): Added links and background about CEO’s last venture.
https://www.coindesk.com/figure-technologies-applies-national-bank-charter
