Fannie Mae to Accept Cryptocurrency as Collateral for Home Loans for the First Time

Fannie Mae, the government-backed mortgage securitizer, is set to accept cryptocurrency as collateral for home loans for the first time. Mortgage lender Better Home & Finance Holding Co. and crypto exchange Coinbase are teaming up to allow home buyers to pledge Bitcoin or the USDC stablecoin to secure a down payment on a Fannie Mae-conforming mortgage. This could bring crypto-backed mortgages into the mainstream of the $12 trillion US mortgage market. The new mortgage product works like a traditional Fannie-backed mortgage, but with a separate loan backed by either Bitcoin or USDC.