Another one! Cryptocurrency exchange company Figure is planning to go public in the fall, with a target fundraising of up to $1 billion.

Media reports, co-founder of Figure Technology Solutions, Mike Cagney, who operates a blockchain mortgage business and a cryptocurrency exchange, recently stated that the company plans to go public this fall and hopes to raise $500 million to $1 billion. Currently, many cryptocurrency companies are hoping to take advantage of the more crypto-friendly policy environment in the White House and the high investor interest in the industry to actively push for public listings. Figure attempted to go public during the Biden administration, but was forced to abandon its plans due to regulatory opposition to the wording used in its documents. Cagney, who previously served as CEO of SoFi, founded Figure in 2018. In an interview with the media at Figure's office in San Francisco last week, he stated that the company plans to conduct a large-scale initial public offering (IPO) following the successful listing of stablecoin company Circle last month. "We want to raise $1 billion, and one thing is very clear to us, there is a lot of money in the market for us." Sources familiar with the matter revealed to the media that Figure has recently held exploratory talks with potential investors including BlackRock, SoftBank, and Tiger Global Management. The company hopes to capitalize on the popularity of stablecoin issuer Circle, whose stock price has risen eightfold since its IPO in June. According to presentation materials shared with investors, Figure's annualized revenue in the first quarter reached $355 million, an increase of about 35% from the same period last year; EBITDA was $121 million. Sources familiar with the matter told the media that the company plans to raise between $500 million and $1 billion in funds through the IPO. Figure's main source of revenue comes from issuing Home Equity Line of Credit (HELOC), a business that has grown steadily in recent years. Rising house prices have increased homeowners' equity in their homes, and many homeowners choose to access cash through mortgage equity rather than refinancing at a higher rate. Cagney told the media that Figure's technology helps the company and other lenders reduce loan costs, as blockchain can store all loan records in one database, saving on audits and other expenses. Today, most of the company's loans are completed through partners like Credit Karma and Guaranteed Rate, helping Figure's loan volume grow by 50% last year to $5.1 billion. Figure also makes money by securitizing loans and selling fees to investors. The company stated in investor materials that the loan credit loss rate has "always" remained at 1% or lower. Cagney said the company also hopes to expand its business beyond mortgages and create a comprehensive brokerage business (Prime Brokerage). The comprehensive brokerage will provide stock lending and other services to large institutional investors. Figure hopes to allow users to lend cryptocurrency and stocks on the company's blockchain, including Figure's own stock. The company has also started selling cryptocurrency collateralized loans to private credit companies. This article is from "Wall Street View", author: Zhao Yuhe; GMTEight editor: Liu Jiayin.