Figure filed for a proposed offering of its new Blockchain Stock Monday, with hopes of disrupting the vertical equity stack.

The Blockchain Stock will be a blockchain-native class of equity securities, trade on Figure’s alternative trading system and will be convertible one-for-one into shares of Figure’s Class A Common Stock, the company said in a press release.

“This is a new capital markets infrastructure moment for efficiency and risk management — a huge leap forward from the legacy securities market infrastructure, and the start of a world that no longer needs it,” said Mike Cagney, executive chairman and co-founder of Figure, in the release.

Traditionally, equities move through a stack of intermediaries, from custodians and clearing firms to prime brokers and introducing brokers. Figure’s blockchain structure aims to cut out third parties, improving efficiency, security and cost savings, representatives said.

“This is a direct, competitive attack to the current equity stack,” Cagney said in a conference call Tuesday.

The proposed offering, which Figure calls the first blockchain-native public equity security issuance, would allow investors to hold, transfer and collateralize Figure stock on the Provenance Blockchain with four key advantages: faster settlement, 24/7 trading, cross collateralization of the security to other assets and the ability to lend or borrow the stock transparently, the company said on the call.

While many of the advantages are investor-focused, the infrastructure also provides benefits for issuers who want to engage more with individual investors, as they can use a listing to further market their company, CEO Micahel Tannenbaum said on the call. The blockchain nature of the security also allows for broader access to investors who struggle with a traditional brokerage account.

“You don’t want to discount the buy side’s ability to push this,” Cagney said. “You look at [BlackRock CEO] Larry Fink, for example, he talks repeatedly about the tokenization of everything … We expect the buy side is going to play an important role here in driving this because of how much utility it accrues back to the investor.”

Figure is currently selling issuers on the idea of the blockchain, but doesn’t expect to see material results this quarter.

The number of shares of Blockchain Stock to be offered and the price range have not been determined yet. Figure also does not expect it to go live until next year.

Figure went public in September, opening at $36 per share. It hit a high of $49.17 in October, but stumbled on Tuesday, falling 7.22% to $39.19.

The offering will be non-dilutive to current shareholders of Figure, as existing investors will sell Class A shares to underwriters, and then Figure will repurchase and hold those shares in treasury.

“It is a very ambitious undertaking,” Tannenbaum said on the call. “It’s hard to do new things, but there’s valor and economics in doing so.”