Figure Technologies $7.7B Accused of Blockchain Misrepresentation

Short seller Morpheus Research alleges Figure Technology Solutions misrepresented blockchain use in its home‑equity loan origination system.
SEC filings show Figure’s loan origination relies on traditional processes, with CoreLogic and Plaid as third‑party tools.
Delinquency on loans held for sale rose to 5.46% in 2025, with 90‑day delinquencies twice those of peers.
Co‑founder Mike Cagney sold $64 million of stock at $28.50 average price and holds majority of Provenance token.