[Figure Co-Founder: $6 Trillion Asset-Based Finance Difficult to Move On-Chain Due to Experience, Custody, and Permissions] According to a report by Jinse Finance on September 7, Figure co-founder and executive chairman Mike Cagney tweeted that DeFi is better suited for asset-based finance (ABF), as it can avoid rehypothecation, directly enhance collateral, enable self-custody or autonomous venues, and support liquidity staking. He believes that Figure has already brought ABF on-chain, but the overall sector is still in its early stages, with the approximately $6 trillion market yet to undergo large-scale migration. Additionally, he outlined five reasons why traditional finance has been slow to adopt on-chain applications: poor user interface experience, allowing retail-focused apps like Robinhood and SoFi to dominate; the long-standing challenge of balancing qualified custody with recoverable self-custody; the need for hedge funds and similar entities to have multi-wallet, multi-user, tiered permissions, and full audits exportable to fund administrators and accountants; regulatory frameworks are being clarified, with precedents for on-chain native securities becoming more defined, and hopes pinned on the 'CLARITY Act' and related guidance; and KYC issues, which are more solvable than perceived, as on-chain solutions can enable programmatic screening and wallet-level permissions.