Figure buys Kiavi for $717M in bet on tokenized lending

Figure Technology Solutions is acquiring Kiavi for $717 million, merging blockchain infrastructure with an AI-powered lending engine that originated $7.8 billion in loans last year.

Figure Technology Solutions agreed to buy Kiavi for $717 million, merging its blockchain lending infrastructure with an AI-powered platform that originated $7.8 billion in residential real estate investor loans last year.

"Adding Kiavi's RTL and DSCR capabilities into our partner network will supercharge their growth and the growth of our consumer loan marketplace," said Michael Tannenbaum, Figure's chief executive officer.

The deal includes the purchase of Kiavi's balance sheet assets by a joint venture between Figure and Sixth Street, the global investment firm with more than $130 billion under management. Kiavi reported more than $250 million in revenue and over $100 million in EBITDA in 2025, a record year that also saw the lender close a $350 million rated securitization that was five times oversubscribed.

The acquisition opens a $200 billion annual addressable origination market for Figure's tokenized rails, bringing fix-and-flip and rental property loans — products traditional banks largely avoid — onto the Provenance Blockchain. Figure reaffirmed its 60 percent EBITDA margin target, betting that blockchain-based loan origination and securitization can operate at lower cost than traditional financial infrastructure.

What Kiavi Brings to Figure's Platform

Kiavi, founded in 2013 as LendingHome and backed by Foundation Capital, Ribbit Capital, and RenRen, has funded more than $30 billion in loans since inception. Its products include short-term Residential Transition Loans — commonly called fix-and-flip loans — and long-term Debt Service Coverage Ratio loans for rental properties. Both sit in the non-qualified mortgage universe, a segment where demand consistently exceeds supply because traditional banks largely avoid the asset class.

The lender's AI-driven underwriting engine uses a proprietary post-renovation home value model and automated document review to assess risk. In February 2026, Kiavi closed a $350 million rated RTL securitization that expanded its funding capacity by as much as $1.2 billion, according to the company.

Following the deal's close, Kiavi Chief Executive Officer Arvind Mohan will join Figure's executive team as chief business officer.

Blockchain Infrastructure Meets Mortgage Origination

Figure operates on the Provenance Blockchain, which it uses to bring efficiency to loan origination, servicing, and securitization. The company has received AAA ratings from S&P and Moody's on multiple loan securitizations — the first such ratings for blockchain finance, according to Figure. Its ecosystem includes more than 380 partners and has originated over $25 billion in home equity products, making it the largest non-bank provider of HELOCs.

The acquisition comes about nine months after Figure's initial public offering on the Nasdaq. In February 2025, Figure formed a joint venture with Sixth Street aimed at bringing $2 billion in liquidity to the non-agency mortgage market. In July 2025, Figure merged with its sibling entity Figure Markets, combining its consumer lending business with a digital asset exchange.

No cryptocurrency tokens are directly involved in the Kiavi acquisition — the transaction is a traditional cash-based M&A deal built around lending assets and operational synergies, not a token swap or crypto-funded buyout.

Barclays Capital served as exclusive financial advisor to Figure and Sixth Street, while Jefferies advised Kiavi. Latham & Watkins provided legal counsel to Figure, Wachtell, Lipton, Rosen & Katz advised Sixth Street, and Wilson Sonsini Goodrich & Rosati counseled Kiavi.

This article is for informational purposes only and does not constitute investment advice.