Fannie Mae Says It Will Begin Accepting Crypto-Backed Mortgages

NEW YORK — Mortgage-finance giant Fannie Mae is preparing to accept cryptocurrency-backed mortgages, marking a significant step in the integration of digital assets into mainstream housing finance, according to reporting by The Wall Street Journal.

The move comes as Better Home & Finance and Coinbase Global unveiled a new mortgage product that allows borrowers to pledge cryptocurrency holdings rather than sell them to fund a down payment.

Under the program, homebuyers would obtain a traditional 15- or 30-year mortgage eligible for purchase by Fannie Mae, while simultaneously taking out a separate loan backed by digital assets such as Bitcoin or USDC, a stablecoin. The structure enables borrowers to retain exposure to crypto markets while securing financing for a home purchase.

According to The Wall Street Journal, the initiative builds on policy direction from the Trump administration. In June, FHFA Director Bill Pulte instructed Fannie Mae and Freddie Mac to prepare to count cryptocurrency holdings as assets in mortgage applications.

Growing Segment of Buyers

The new offering targets a growing segment of prospective buyers who hold digital assets but are reluctant to liquidate them. Roughly 14% of U.S. adults owned cryptocurrency in 2025, according to Gallup, while a Redfin survey found nearly 13% of millennial and Gen Z homebuyers sold crypto to help fund down payments.

“A lot of those crypto owners and investors have not been able to become homeowners,” said Max Branzburg, head of consumer and business products at Coinbase, according to The Wall Street Journal.

The structure, however, may increase borrowing costs. Borrowers would pay interest on both the primary mortgage and the crypto-backed loan, with rates potentially running up to 1.5 percentage points higher than standard Fannie Mae loans, the publication reported.

Cannot be Traded

Once pledged, the crypto assets cannot be traded, though fluctuations in their value would not affect the mortgage terms as long as payments are made, said Vishal Garg, chief executive of Better, according to the report.

Crypto-backed mortgages remain a niche product. Milo, which has offered similar loans since 2022, has served just over 100 customers, CEO Josip Rupena said, according to The Wall Street Journal.

Still, industry participants say demand could grow as digital assets become more widely adopted and integrated into traditional financial products.