Figure Technology Solutions (Nasdaq: FIGR) and its blockchain platform Hastra are expanding their tokenized credit marketplace to include auto loans. This move marks a significant shift beyond their initial focus on home equity products and into broader consumer lending categories. The new asset class will be introduced through Democratized Prime, Figure Markets' decentralized lending marketplace, which is designed to enable various types of consumer credit to be issued, traded, and funded on-chain.
Michael Tannenbaum, CEO of Figure, stated, "We've been purposefully building toward this," noting that the platform has already originated more than $22 billion in on-chain loans. The expansion is part of a wider plan to build a multi-asset marketplace for tokenized private credit, with auto finance being the first new category added. This reflects an attempt to move tokenized credit beyond niche use cases and into mainstream lending, where demand is larger but risk profiles are more complex.
The introduction of auto loans represents a key test for decentralized finance (DeFi) credit. While home equity products are typically backed by higher-quality collateral, auto loans—particularly non-prime ones—carry higher default risk and are more sensitive to economic cycles. Bringing these assets on-chain could widen access to real-world yield for DeFi investors but introduces less predictable credit risk dynamics compared to overcollateralized crypto lending.
Concurrently, Hastra is executing a multi-chain expansion. Initially deployed on Solana, the platform is expanding to Ethereum-compatible chains to access a broader DeFi ecosystem. The auto finance product will launch first on Solana, with a planned rollout to Ethereum around June. This phased approach allows Figure to test performance in one environment before scaling to a larger, more liquid ecosystem.
Despite the growth, risks remain. Non-prime auto loans can exhibit higher default rates, especially during economic downturns, and regulatory uncertainty persists around transparency and stress scenarios for blockchain-based credit products. Market sentiment, however, remains constructive. Bernstein analysts recently assigned Figure an "Outperform" rating with a $67 price target, citing growth in its tokenized lending business. The company reported loan originations exceeding $1.2 billion in March, with first-quarter volumes reaching $2.9 billion. Figure went public on the Nasdaq in September 2025.
