US Startup Files Application to Issue Interest-Bearing Stablecoin
A US blockchain and lending startup has filed an application with the US Securities and Exchange Commission (SEC) seeking permission to issue an interest-bearing stablecoin. The startup said the digital token will be an alternative to existing stablecoins such as USDT and USDC.
Figure Technologies Stablecoins as 'Face-Amount Certificates'
Figure Technologies Inc., a new blockchain and lending startup, has reportedly filed an application with the US Securities and Exchange Commission (SEC) for launching an interest-bearing stablecoin. The stablecoins will be registered as “face-amount certificates” and will be available to both retail and institutional investors in the US, subject to approval by the regulator.
Figure Technologies hopes to offer the first stablecoin in the United States as a security, according to a Bloomberg report. The draft registration statement has been filed by the company under the name of its subsidiary, Figure Certificate Co. The startup will issue stablecoins using blockchain technology.
The digital asset division of Figure Technologies, Figure Markets, is reportedly planning to raise USD 50 million at a valuation of USD 250 million. The funds are likely to be raised in collaboration with Jump Crypto and will be used for Figure Markets’ operations.
Proposed Stablecoin as an Alternative to USDT and USDC
Mike Cagney, the CEO of Figure Technologies, said about the proposed stablecoin that the digital token will be used as an alternative to existing stablecoins such as USDT and USDC. He added:
"Interested in an instrument that provides yield backed by highly liquid, investment-grade assets in a digital format that can be liquidated on short notice and used in peer-to-peer transactions?"
Figure Technologies has also filed for registration of an offering that targets investors who are interested in earning yields with assets held in digital format, as the Bloomberg report mentioned.
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