A U.S. Startup’s Application for an Interest-Bearing Stablecoin
Figure Technologies Inc., a blockchain and lending startup, has recently approached the U.S. Securities and Exchange Commission (SEC) to seek approval for launching an interest-bearing stablecoin. If granted permission, the stablecoins will be classified as “face-amount certificates” and will be available to retail and institutional investors in the United States.
The goal of Figure Technologies is to introduce the first regulated security stablecoin in the U.S. The company’s draft registration statement, which was filed by its subsidiary Figure Certificate Co., states that the stablecoin will be issued using blockchain technology.
Figure Markets, the digital asset arm of Figure Technologies, is also in the process of raising $50 million in collaboration with Jump Crypto. The funds will support the operations of Figure Markets.
An Alternative to Existing Stablecoins
Figure Technologies, led by CEO Mike Cagney, hopes to offer its stablecoin as an alternative to other existing stablecoins like USDT and USDC. The startup emphasizes that its digital token provides yield through highly liquid, investment-grade assets that can be held in a digital format and used for peer-to-peer transactions.
Furthermore, Figure Technologies has applied to register an offering targeted at investors seeking to earn yields with assets held in a digital format.
Hot Take: Figure Technologies Aims to Disrupt Stablecoin Market with Interest-Bearing Model
A U.S. blockchain and lending startup called Figure Technologies Inc. is seeking regulatory approval from the U.S. Securities and Exchange Commission (SEC) to introduce an interest-bearing stablecoin. The company aims to offer the first regulated security stablecoin in the United States. If successful, Figure Technologies’ stablecoins will be accessible to both retail and institutional investors in the U.S. Figure Markets, the digital asset division of the startup, is also working to raise $50 million in collaboration with Jump Crypto to support its operations. By providing an alternative to existing stablecoins, Figure Technologies hopes to attract investors who want to earn yield from highly liquid, investment-grade assets held in a digital format.
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