Cathie Wood Sees Crypto Housing Policy Boosting Accessibility 20%

Cathie Wood, the founder, CEO, and chief investment officer of ARK Investment Management, has highlighted the potential impact of a new U.S. housing policy that integrates cryptocurrency. This policy, if implemented, could significantly alter the landscape of the housing market by leveraging the benefits of digital currencies. Wood's insights suggest that this policy could make homeownership more accessible and efficient, potentially attracting a broader range of investors and homebuyers.

The integration of cryptocurrency into the housing market could streamline transactions, reduce costs, and enhance security. By using digital currencies, buyers and sellers could bypass traditional banking systems, which often involve lengthy processes and high fees. This could make the home-buying process faster and more cost-effective, benefiting both parties involved. Additionally, the use of blockchain technology could provide a transparent and secure record of transactions, reducing the risk of fraud and errors.

Wood's comments come at a time when the housing market is facing various challenges, including rising interest rates and increasing home prices. The new policy could offer a solution to some of these issues by providing an alternative financing option. For instance, homebuyers could use cryptocurrency to make down payments or even purchase homes outright, depending on the specifics of the policy. This could make homeownership more attainable for individuals who may not have access to traditional financing options.

The potential impact of this policy extends beyond individual homebuyers. Real estate developers and investors could also benefit from the integration of cryptocurrency. By accepting digital currencies as payment, developers could attract a wider range of buyers, including those from overseas who may prefer to use cryptocurrency for transactions. This could lead to increased demand for real estate and potentially higher property values.

However, the implementation of this policy is not without its challenges. Regulatory hurdles and technological barriers could slow down the adoption of cryptocurrency in the housing market. Additionally, there may be concerns about the volatility of digital currencies, which could affect the stability of the housing market. Despite these challenges, Wood's optimism suggests that the potential benefits of integrating cryptocurrency into the housing market outweigh the risks.

Historically, crypto assets have been excluded from the mortgage risk assessment process, unless converted into fiat currency. This directive marks a notable departure from that norm, signaling a potential integration of digital wealth into traditional financial frameworks. The decision, issued under FHFA Decision No. 2025-360, directs the two government-sponsored enterprises to prepare frameworks that consider crypto assets—without converting them to U.S. dollars—as part of the risk evaluation process for single-family mortgage loans.

The policy was unveiled publicly by real estate investor and government official Bill Pulte, who noted that the move aligns with Donald Trump’s ambition to make the United States “the crypto capital of the world.” Pulte stated that the goal is to allow borrowers to use their cryptocurrency holdings as part of their mortgage eligibility profile, potentially opening doors for a broader segment of Americans to access homeownership.

The FHFA emphasized that including crypto in asset evaluations could give lenders a more complete view of a borrower’s financial profile and improve credit access for borrowers with non-traditional wealth. By treating crypto as a reserve asset rather than requiring conversion, the agency hopes to modernize mortgage lending in a way that reflects today’s digital economy.

Cathie Wood, CEO of ARK Invest, commented on the development, saying it could “bolster both crypto and housing significantly,” and warned that the long-term implications are not yet fully understood. ARK Invest analysts are expected to provide deeper insights into the policy in their upcoming ARK Disrupt newsletter.