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Fannie Mae will begin accepting cryptocurrency-backed mortgages through a new product launched by Better Home & Finance and Coinbase. The offering allows homebuyers to use Bitcoin or USDC as collateral for loans conforming to Fannie Mae standards, rather than making cash down payments. Better Home shares surged 12% following Thursday's announcement, whilst Coinbase fell 1.1% and Fannie Mae dropped 4.6%. Homebuyers will apply for standard 15- or 30-year mortgages but receive a separate loan backed by their cryptocurrency holdings. The product features no margin calls, meaning market movements alone will not trigger liquidation. Borrowers face liquidation risk only after 60 days of payment delinquency, similar to standard Fannie Mae mortgages. A 2025 Redfin survey found over 10% of millennial and Gen-Z homebuyers sold crypto holdings to fund down payments.

Fannie Mae collaborates with Coinbase to launch crypto mortgages. Fannie Mae is set to support crypto-backed mortgages, allowing borrowers to use digital assets like bitcoin as collateral. The move signals deeper integration of crypto into traditional housing finance. Crypto-Backed home loans set to launch in industry first. Fannie Mae is preparing to support a new type of mortgage that allows borrowers to use cryptocurrency as collateral. The initiative, developed with Coinbase and Better Home & Finance, marks a significant step in bringing digital assets into mainstream housing finance. Under the new structure, homebuyers can pledge crypto holdings such as bitcoin or USDC instead of selling assets to fund a down payment. This allows borrowers to maintain market exposure while avoiding potential capital gains taxes tied to liquidation. The loans will be issued as conforming mortgages backed by Fannie Mae. That means they will follow the same standards and protections as traditional home loans. For many in the market, Fannie's involvement adds a level of credibility that earlier crypto mortgage products lacked. The move follows guidance from the Federal Housing Finance Agency (FHFA). In June, FHFA Director Bill Pulte instructed Fannie Mae and Freddie Mac to explore how crypto assets could be counted in mortgage applications. The policy reflects broader support for digital assets within the current U.S. administration. Demand for such products is already visible. Around 14% of U.S. adults owned crypto in 2025, according to Gallup. At the same time, a Redfin survey found that nearly 13% of younger homebuyers sold crypto to fund down payments. The new model aims to change that behavior. Instead of liquidating holdings, borrowers can now use them as collateral, preserving long-term investment positions. Still, the timing comes amid market volatility. Bitcoin remains well below its recent peak, having dropped more than 40% since its October highs. That could introduce new risk considerations for lenders and borrowers alike, particularly if collateral values fluctuate. Even so, the launch signals a clear direction for the market. As crypto assets gain acceptance, their role in everyday financial products continues to expand. For the housing sector, this could open the door to a new class of buyers. For crypto, it represents another step toward full integration with traditional finance. Faq. * What is a crypto-backed mortgage? It is a home loan where borrowers use cryptocurrency, such as bitcoin or USDC, as collateral instead of cash. * Who is offering this product? The mortgage is being introduced through a partnership between Coinbase and Better Home Finance, with backing from Fannie Mae. * Why would buyers use crypto instead of cash? They can avoid selling their assets, maintain market exposure, and potentially avoid capital gains taxes. * Is this widely available in the U.S.? The product is just launching, but Fannie Mae's involvement could help expand access over time. Crypto Fear and Greed index. Fear Greed Yesterday Extreme Fear Last Week Extreme Fear How do you feel about the market today?

Better Home & Finance and Coinbase announce launch of partnership with Fannie Mae to offer crypto-backed mortgages. LinkedIn Facebook X On March 26, 2026, mortgage provider Better Home & Finance and cryptocurrency trading platform Coinbase announced a partnership with Fannie Mae to offer Fannie Mae-complaint mortgages backed by cryptocurrency from borrowers as collateral. The partnership represents the first mortgage products backed by cryptocurrency to be accepted by Fannie Mae since FHFA Director Bill Pulte's June 26, 2025 directive ordering Fannie Mae to prepare a proposal to the FHFA for the consideration of prospective buyers' cryptocurrency assets in its risk assessments of single-family mortgage loans. As part of the announced partnership, prospective homeowners will be able to pledge certain approved cryptocurrency assets (namely bitcoin or USD coin) to fund a down payment on a home in lieu of cash, and without liquidating their cryptocurrency assets. The structure allows buyers to effectively take out a second loan on their down payment backed by their cryptocurrency assets, while also receiving a standard Fannie Mae-backed loan on the home itself. In its announcement, Better asserts that Fannie Mae backing will allow prospective home buyers to receive significantly lower interest rates than that seen on existing cryptocurrency-backed mortgage products offered by other providers, which have not yet received the backing of Fannie Mae. This announcement raises significant implications for the mortgage industry as GSE-backed crypto lending may open up new products for lenders and servicers in origination and re-financing of residential mortgages. DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising. (C) Goodwin 2026 Publish your content on JD Supra. * | Increased readership * | Actionable analytics * | Ongoing writing guidance Join more than 70,000 authors publishing their insights on JD Supra