Figure Technology Solutions (NasdaqGS:FIGR) Update / Briefing Transcript

Summary of Figure Technology Solutions Conference Call Company Overview - Company: Figure Technology Solutions (NasdaqGS:FIGR) - Event Date: November 18, 2025 - Key Speakers: Mike Cagney (Executive Chairman), Michael Tannenbaum (CEO), Macrina Gill (CFO), Claire Hovey (COO) Key Industry and Company Developments - Launch of Blockchain-Native Public Equity Security: Figure announced the first-ever blockchain-native public equity security, enhancing how public securities can be issued, traded, and financed [4][10] - Advantages of Blockchain-Native Equity: - Faster bilateral settlement - 24/7 trading capabilities - Cross-collateralization of securities - Transparent lending and borrowing of stock [4][6][8] - Non-Dilutive Offering: The offering will be non-dilutive, involving existing shareholders selling their shares while Figure mints new blockchain stock, keeping the total share count unchanged [5][7] Market Infrastructure and Trading Model - Decentralized Trading Model: The blockchain-native equity will trade on an alternative trading system (ATS) without reliance on traditional intermediaries like DTCC or prime brokers, allowing for direct trades between self-custody wallets [6][15] - Cost Savings and User Experience: The new model is expected to deliver material cost savings, better stock loan economics, and an improved user experience [6][9] - Integration with Democratized Prime: The blockchain-native equity will serve as a foundational element for the Democratized Prime DeFi platform, enhancing liquidity and market efficiency [10][12] Regulatory and Compliance Aspects - SEC Registration: The blockchain-native equity will be fully registered with the SEC, ensuring compliance with investor protections and governance frameworks [7][8] - KYC and AML Compliance: The same KYC requirements will apply as with traditional brokerages, ensuring regulatory compliance [30][34] Market Dynamics and Future Outlook - Liquidity Mechanism: A mechanism will allow swapping between blockchain and NASDAQ securities, expected to enhance liquidity across both platforms [20][21] - Potential for Premium Trading: The blockchain-native equity may trade at a premium due to its enhanced utility and cross-collateralization capabilities [21][50] - Expansion into Other Asset Classes: Figure aims to extend its blockchain model into other asset classes, including commodities and currencies, beyond just equity [16][41] Competitive Landscape - Disruption of Traditional Markets: Figure's approach is seen as a direct competitive challenge to traditional equity markets, potentially leading to a shift away from reliance on intermediaries [15][24][48] - Interest from Other Market Participants: There is significant interest from asset managers and broker-dealers in adopting this blockchain-based approach, indicating a shift in market dynamics [22][24] Conclusion - Ambitious Undertaking: Figure is positioning itself at the forefront of transforming capital markets through blockchain technology, aiming to restore economics to asset holders and disrupt traditional intermediation [78]