Figma, a 13-year-old design software company, went public on the NYSE yesterday, with its stock reaching $115, a significant increase from its $33 opening price. This reflects a ~250% gain, surpassing Circle's June performance and the typical 17% IPO day-one jump. Critics argue that investment banks underprice IPOs to benefit select hedge funds and clients, negating opportunities for retail investors, who often only buy once prices have already surged. This process is compared to the practices seen in memecoin launches, where early buyers manipulate prices for profit. The outdated Securities Act of 1933 is cited as a factor creating this inequity, as it enforces fixed prices and allocation rules that favor Wall Street. Meanwhile, SEC Chair Paul Atkins announced new initiatives intended to position America as a leading hub for crypto, aiming to protect various stakeholders in the industry. Yet, the long-term implications of these regulations remain unclear, raising concerns about how effectively they will address current inequities in capital markets. Changes may harden regulations to benefit those who exploit them, underlining the complexities of governance in such a dynamic field.

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