Introduction
In a bold move that could redefine public equity markets, Figure Technology has filed with the SEC for a second public offering designed to issue blockchain-native equity directly on the Solana network. Announced by executive chairman Mike Cagney at the Solana Breakpoint conference, this initiative aims to bypass traditional exchanges like Nasdaq and established brokers entirely, unlocking new possibilities for onchain trading and decentralized finance (DeFi) applications. This follows the company’s recent conventional Nasdaq listing and represents a significant strategic push toward decentralized capital markets.
Key Points
- The offering represents one of the first attempts to issue corporate equity natively on a public blockchain rather than through traditional exchanges.
- Figure's blockchain equity would operate independently of introducing brokers and prime brokers, potentially reducing intermediation costs.
- This move signals a strategic expansion from Figure's existing focus on tokenized assets and lending into decentralized equity markets.
A Groundbreaking Shift in Public Offerings
Figure Technology’s filing with the US Securities and Exchange Commission (SEC) marks one of the first serious attempts to issue corporate equity natively on a public blockchain. Unlike its recent traditional market listing, this “new version of Figure equity” is designed specifically for the Solana blockchain and will not trade on established venues like the Nasdaq or the New York Stock Exchange. According to Cagney, the offering is a deliberate step to expand decentralized finance use cases, moving beyond the company’s existing focus on tokenized assets and lending.
The strategic significance of this dual-track approach—having both a traditional Nasdaq listing and a planned blockchain-native offering—cannot be overstated. It positions Figure at the forefront of a potential convergence between traditional finance (TradFi) and blockchain infrastructure. By creating equity that exists natively on-chain, Figure is testing a model where corporate ownership and transfer are managed by blockchain protocols rather than centralized exchanges and their associated settlement systems.
Bypassing Traditional Financial Intermediaries
A core feature of this proposed offering is its disintermediation of the traditional brokerage ecosystem. Cagney explicitly stated that the blockchain-native equity would not rely on introducing brokers like Robinhood or prime brokers such as Goldman Sachs. This represents a direct challenge to the established roles and fee structures of these financial intermediaries. The model suggests a future where investors can hold and trade equity directly in a digital wallet, interacting with the asset through decentralized applications (dApps) on the Solana network.
The potential implications are vast, ranging from reduced transaction costs and settlement times to the creation of entirely new financial products. This equity could be seamlessly integrated into the burgeoning Solana DeFi ecosystem. Holders might use their tokenized Figure shares as collateral for loans in lending protocols, provide liquidity in automated market makers, or earn yield through other innovative DeFi mechanisms—use cases that are impossible with traditional, electronically recorded stock.
The Solana Ecosystem and Regulatory Frontier
The choice of Solana as the underlying blockchain is a major vote of confidence in the network’s capacity for high-throughput, low-cost transactions, which are critical for a functional equity market. The announcement at the Solana Breakpoint conference underscores the symbiotic relationship between innovative blockchain platforms and pioneering financial applications. Success for Figure could drive significant value and activity to the Solana (SOL) ecosystem, demonstrating its utility for complex, regulated financial instruments.
However, the path forward is paved with regulatory scrutiny. The SEC filing is just the beginning of what will likely be a closely watched process. The regulator will need to evaluate how this blockchain-native equity complies with existing securities laws regarding investor protection, disclosure, and market fairness. Figure’s move is a high-profile test case for how traditional securities regulations apply to assets that are natively issued and traded on decentralized networks. Its progress will be a key indicator for other companies considering similar blockchain-based capital market strategies.
📎 Related coverage from: cointelegraph.com