Better, Coinbase launch bitcoin-backed mortgages for U.S. homebuyers

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Bitcoin-backed mortgages launched

Highlights

Better and Coinbase launched a mortgage product allowing U.S. homebuyers to pledge Bitcoin as collateral, requiring at least 250% of the down payment value.
Both the Fannie Mae-backed mortgage and Bitcoin-backed down payment loan feature the same interest rate and single monthly payment, with pledged Bitcoin only liquidated after 60 days of payment delinquency.
The Federal Housing Finance Agency directed Fannie Mae and Freddie Mac to propose treating cryptocurrency on U.S.-regulated exchanges as an asset in mortgage assessments, aiming for implementation by June 2025.

Product structure and borrower terms

As reported by Cointelegraph, citing Coinbase’s Help Center, the product lets eligible borrowers pledge Bitcoin worth at least 250% of the down payment loan, with the collateral transferred to Better’s custodial account on Coinbase Prime.

The structure pairs two loans, a Fannie Mae-backed mortgage and a separate loan for the down payment. Coinbase says both loans carry the same interest rate and amortization term, and borrowers make a single monthly payment. The pledged Bitcoin is returned once the mortgage is fully repaid or refinanced, subject to the loan terms.

Price declines in Bitcoin alone do not trigger margin calls or changes to the mortgage terms. Coinbase says Better can liquidate the pledged Bitcoin if a borrower becomes 60 days delinquent on payments.

Borrowers must be U.S. residents with a verified Coinbase account and still meet Better’s credit, income and other underwriting requirements. Coinbase One members are also eligible for a 1% rebate from Better, capped at $10,000, that can be applied to closing costs and fees.

Better and Coinbase first announced the product in March, when it initially opened through an early-access program.

Crypto’s expanding role in mortgage finance

The rollout comes as U.S. housing finance institutions and lenders increasingly explore how cryptocurrency can be counted in mortgage assessments. In June 2025, the Federal Housing Finance Agency directed Fannie Mae and Freddie Mac to develop proposals to consider cryptocurrency held on U.S.-regulated centralized exchanges as an asset in single-family mortgage risk assessments, without requiring conversion into U.S. dollars.

The FHFA directive also requires the two government-sponsored enterprises to consider safeguards against crypto volatility and submit proposed changes to their boards before agency review. Other lenders are moving the same way, with Newrez announcing in January that it would recognize certain cryptocurrency holdings in mortgage application reviews beginning in February, including for home purchases and refinancing.

The expansion of bitcoin-backed home financing comes as U.S. home prices remain near historically high levels. The median sales price of a new U.S. home is about $400,000 in 2026, according to data from the U.S. Census Bureau and the Department of Housing and Urban Development compiled by the Federal Reserve Bank of St. Louis.

Our earlier coverage of OCBC’s Series 9 mortgage covered bond issuance highlighted how banks are tapping residential mortgage collateral to secure long-term wholesale funding. We noted that the GBP1 billion deal was backed mainly by UK home loans and underscored continued investor demand for high-quality, asset-backed funding structures in the mortgage market.

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