Fannie Mae, the government-sponsored enterprise that backs nearly 40% of all securitized mortgages in the United States, has announced it will accept cryptocurrency-backed mortgages for the first time.
The product, developed in partnership with Coinbase and mortgage firm Better Home & Finance, allows prospective homebuyers to pledge Bitcoin or USDC as collateral for down payments without liquidating their digital asset holdings. This significant development comes on the same week that Monument Bank announced plans to tokenize £250 million in UK retail deposits, and Australia released projections of a $16.7 billion gain from stablecoins and tokenization.
How The Bitcoin and Crypto Product Will Work
The program enables borrowers to transfer their digital assets from Coinbase to a better custody wallet while retaining ownership, avoiding the need to sell crypto and trigger taxable events. For USDC holders, the structure allows them to continue earning rewards while their assets serve as collateral.
The mortgage is structured as a conforming loan backed by Fannie Mae, meaning it carries the same protections and standards as traditional mortgages. Coinbase acts as the custodian and verifier of crypto holdings, ensuring that assets meet the regulatory and liquidity requirements expected by mortgage lenders. Notably, unlike typical crypto lending products, the loans have no margin calls. If Bitcoin drops in value, the terms of the mortgage remain unchanged, and no additional collateral is required.
The Road to This Moment
The policy shift traces back to June 25, 2025, when Federal Housing Finance Agency Director William J. Pulte directed both Fannie Mae and Freddie Mac to begin preparing proposals that would allow borrowers to use their cryptocurrency holdings as reserves in single-family mortgage loan risk assessments without converting them into dollars. The directive aligned with President Trump’s broader push to position the United States as a global crypto hub.
Private lenders have not been sitting idle either. Firms like Newrez and Rate have already launched non-agency mortgage products that accept crypto for qualification, including Bitcoin, Ethereum, and SEC-approved spot ETFs and stablecoins. Fannie Mae’s involvement, however, marks the first time the mainstream conforming-loan market has opened its doors to digital-asset collateral.
Notably, Coinbase data show that 45% of younger investors own crypto, compared with 18% of older cohorts, suggesting digital assets are becoming a primary store of value for a new generation. With housing affordability continuing to deteriorate, the product targets a specific gap in the market: buyers who are asset-rich in crypto but cash-poor when it comes to traditional down payments.
The CoinRemark Team
Temitope Olajide
