Yesterday Figure Technologies announced an agreement to merge with Homebridge Financial Services, which originated $25 billion in mortgage loans last year and has 150,000 customers.
At first sight, merging a high-tech blockchain platform and a firm with human beings doing mortgage origination seemed a little counterintuitive. One explanation is those 180 Homebridge physical branches and a bigger balance sheet are a considerable benefit in Figures’ banking license application.
Figure has applied for a national banking charter with opposition from the American Bankers Association because it doesn’t have any FDIC-insured deposits. The OCC, which charters banks, has a new interim head who is taking a more conservative stance than his predecessor.
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