Fannie Mae Collaborates With Coinbase to Launch Crypto Mortgages

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.

Voice Of Osiz

The collaboration between Fannie Mae and Coinbase to introduce crypto-backed mortgages marks a transformative leap in financial innovation. At Osiz, we view this as a strong validation of how digital assets like Bitcoin and USDC are evolving into practical financial instruments. This initiative highlights the growing convergence between traditional housing finance and decentralized ecosystems. By enabling users to leverage crypto holdings without liquidation, the model enhances liquidity and long-term investment potential. It also reflects a progressive regulatory outlook driven by bodies like the Federal Housing Finance Agency. As adoption accelerates, such innovations will redefine lending frameworks and asset utilization. Osiz continues to empower businesses with advanced blockchain solutions that align with this next wave of financial transformation.

Source: Bitcoin.com