Sixth Street Backs Figure Tech's $20B Blockchain Lending Push

Global investment firm Sixth Street has invested $200 million in Figure Technology Solutions, a U.S.-based lending company that leverages blockchain technology to improve the efficiency and reduce the cost of the lending market. This strategic investment will enable Figure to originate up to $20 billion in new loans and help the company expand into other lending markets.

Figure Technology primarily offers home improvement loans but also provides commercial loans and debt consolidation services. It also operates a personal loan business, allowing cryptocurrency investors to borrow in the form of collateralized loans. The Figure website claims to have served over 100,000 households from 47 states in the U.S.

This investment by Sixth Street is a testament to the growing interest and potential of blockchain technology in the financial sector. By leveraging blockchain, Figure aims to streamline the lending process, reduce intermediaries, and enhance transparency. This could lead to more competitive interest rates and improved access to credit for borrowers.

The blockchain-based lending market has been gaining traction in recent years, with several startups and established financial institutions exploring the use of distributed ledger technology to disrupt traditional lending models. This investment by Sixth Street in Figure Technology is a significant development in this space and could pave the way for further innovation and growth in the blockchain lending sector.