Quick take

Figure Markets offers two distinct ways to earn: YLDS, an interest-bearing digital security designed to maintain a stable value, and Democratized Prime, a lending marketplace where users supply cash or crypto to collateralized borrowing pools. This gives users exposure to onchain yield tied to securities reserves or borrower demand rather than a conventional exchange earn account. The trade-off is complexity and liquidity risk: pool rates and exit conditions vary, and YLDS is an investment product—not a bank deposit or an SEC-approved guarantee. Readers can compare its structure with other stablecoin yield products.

How earning works

YLDS is the digital representation of face-amount certificates issued by Figure Certificate Company. It accrues interest daily at a variable formula tied to overnight SOFR minus a spread, subject to the product's terms and expenses. YLDS can be issued, transferred, and surrendered through supported blockchain and Figure infrastructure.

Democratized Prime connects lenders with borrowers seeking liquidity against crypto or real-world-asset collateral. Users choose a lending pool based on its asset, rate model, utilization, available liquidity, and collateral profile. Auction Rate Pools allow lenders to submit a minimum acceptable rate, with offers allocated by price. Live Rate Pools accept deposits at a rate that changes continuously with utilization. Interest accrues when borrower demand fills or uses the supplied capital.

Rates, fees, and requirements

Figure states that lenders do not pay fees in either Democratized Prime pool type; borrower fees support the marketplace. Rates are not fixed across the platform. Auction rates are recalculated periodically, while live rates change with utilization.

YLDS returns also change with the reference rate and product terms. Users should consult the current rate table and prospectus rather than relying on a historical percentage in review copy.

Custody and key risks

Figure Certificate Company and YLDS are registered under federal securities laws, but registration does not mean the SEC has approved the product or guaranteed its value. YLDS certificates are unsecured obligations backed solely by the assets of the issuer. They are not FDIC-insured, have no bank guarantee, and may lose value. Users also face blockchain, private-key, redemption, issuer, interest-rate, and liquidity risk.

Democratized Prime loans are collateralized, but collateral does not eliminate borrower or liquidation risk. An Auction Rate Pool exit can remain queued until another lender supplies liquidity. A Live Rate Pool withdrawal is limited to currently available liquidity, so an immediate exit is not assured.

Related features

Figure Markets also supports crypto-backed borrowing, trading, wallet infrastructure, and onchain settlement. These services may be useful to users who want to borrow without selling assets or use YLDS elsewhere in the Figure ecosystem.

Best for

Figure Markets is best for experienced users who understand lending-pool mechanics or tokenized securities and want onchain access to borrower- or reference-rate-based yield while accepting additional product and liquidity complexity.