Figure Technologies, backed by Morgan Creek has secured $1 billion in uncommitted asset-based financing facility, the firm declared in a press release on May 9. It is mainly an equity loan platform which focuses on issuing home equity lines of credit (HELOCs) on its private blockchain.

Custodied on Figure’s blockchain platform, the latest deal was made between leading investment banking firm Jefferies and multi-billion dollar financial services firm WSFS Financial Corporation.

As per the press release, Figure has been working with Jefferies and WSFS for above six months to come up with the latest financial facility. Brian McGrath, who is Head of the Securitized Markets Group at Jefferies stated, “We’ve gained full transparency into the underlying assets, real-time access to loan performance and the process of accepting collateral has less friction than off chain.”

WSFS Institutional Services is involving as a member of Provenance. Also, it is behaving as a trustee for Jefferies. 

Mike Cagney, who is the Founder and CEO of Figure Technologies said, "the entire end-to-end financing of loans, from origination to funding to servicing to financing the latest financial facility allowed Provenance to support." He further added, “It paves the way for the first securitization on-chain, which will demonstrate the massive cost savings, risk reduction, and liquidity benefits blockchain delivers.” 

Figure Technologies, which is founded by CEO Mike Cagney, who was former SoFi founder initially built and executed its distributed stakeholder blockchain Provenance in 2018, the report says. The main purpose of the firm is to develop and promote unique financial products on the blockchain which are useful to consumers and exclude rent-seeking, liquidity, and other inefficiencies which are present in today's financial markets.

Just before three months, Figure collected $65 million, elevating its total equity value to $120 million. The funding round was directed by M Ventures and partners at the DST Global, along with the involvement of DCG, Nimble Ventures, and Morgan Creek.

As per one report of Bloomberg, Figure has already offered around 1,500 home equity lines of credit in a total of 36 states. The startup is currently providing a loan of $1.5 million per day and wishes to double the number every few months.