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Home-loan giant Fannie Mae will soon accept so-called crypto-backed mortgages for the first time, marking another step in cryptocurrencies’ push into mainstream consumer finance.
On Thursday, mortgage lender Better Home & Finance and crypto exchange Coinbase Global announced a new product that ties digital assets to down payments on Fannie Mae-eligible home loans.
Under the structure, homebuyers can pledge Bitcoin or USDC stablecoin as collateral for a separate loan that funds the cash down payment—rather than converting those assets into U.S. dollars, which not only incur tax liabilities but also cost them any potential future gains.
Crypto-backed mortgages are not new, but the Better–Coinbase product is the first to be accepted by Fannie Mae, a government-sponsored enterprise overseen by the Federal Housing Finance Agency (FHFA) and a central force in the U.S. housing market….
On Thursday, mortgage lender Better Home & Finance and crypto exchange Coinbase Global announced a new product that ties digital assets to down payments on Fannie Mae-eligible home loans.
Under the structure, homebuyers can pledge Bitcoin or USDC stablecoin as collateral for a separate loan that funds the cash down payment—rather than converting those assets into U.S. dollars, which not only incur tax liabilities but also cost them any potential future gains.
Crypto-backed mortgages are not new, but the Better–Coinbase product is the first to be accepted by Fannie Mae, a government-sponsored enterprise overseen by the Federal Housing Finance Agency (FHFA) and a central force in the U.S. housing market….
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