Figure's Nasdaq Debut Surges 24.44% on First Day

Figure, a blockchain-based lending platform, made a strong debut on the Nasdaq on Thursday, closing its first day of trading with a 24.44% increase, at 31.11 dollars per share. This impressive performance has further fueled the enthusiasm for cryptocurrency IPOs.

The company's initial public offering (IPO) was priced at 25 dollars per share, exceeding the revised range of 20 to 22 dollars. The IPO raised 787.5 million dollars, valuing the company at approximately 66 billion dollars. In 2021, a round of venture capital funding valued the company at 32 billion dollars.

Figure was founded in 2018 and utilizes blockchain technology to streamline the lending process, including home equity lines of credit (HELOC). The company's CEO highlighted the vast potential in their business sector, noting that the total home equity in the United States amounts to 35 trillion dollars.

The CEO emphasized that Figure's uniqueness lies in its use of blockchain to create real-world value. The company initially offered HELOC products and has since expanded to include cryptocurrency-based loans and a digital asset trading platform. Through blockchain channels, Figure has issued over 160 billion dollars in loans.

In the realm of artificial intelligence, Figure's website indicates that the company is leveraging OpenAI's technology to assist in evaluating loan applications and employing a chatbot powered by Google Gemini.

For the six-month period ending June 30, the company reported a net profit of 29.1 million dollars and revenue of 190.6 million dollars, compared to a net loss of 15.6 million dollars and revenue of 156 million dollars in the same period last year.

Billionaire investor Stanley Druckenmiller's Duquesne Family Office expressed interest in purchasing up to 50 million dollars worth of shares at the IPO price. The IPO attracted over 25 times the subscription amount.

Figure's investors include DCM, Ribbit, Gemini Investments, and Morgan Creek Capital Management. The founder is expected to retain control of 68.6% of the voting power.