Bitcoin-backed mortgages launch via Coinbase

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Eugene Komchuk

27.08.2026

Bitcoin-backed mortgages launch via Coinbase — Coinbase will help you buy a home

Better Mortgage and Coinbase have made a mortgage program available to U.S. customers that allows Bitcoin to be used as collateral for a down payment. Borrowers do not need to sell their crypto.

The product combines a Fannie Mae-backed mortgage with a separate down payment loan secured by BTC. The value of the pledged Bitcoin must equal at least 250% of the down payment loan. The assets are transferred to Better’s custodial account on Coinbase Prime.

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Both loans carry the same interest rate and repayment term, while the borrower makes a single monthly payment. Once the mortgage is fully repaid or refinanced, the pledged Bitcoin is returned to the owner.

A decline in the price of BTC by itself does not trigger a margin call or change the loan terms. However, Better can sell the pledged Bitcoin if the borrower falls 60 days behind on payments.

The program is available to U.S. residents with a verified Coinbase account. Borrowers must also meet Better’s standard requirements for credit history, income and other financial criteria. Coinbase One members can receive a 1% rebate from Better, capped at $10,000, which can be used toward closing costs and fees.

Better and Coinbase first introduced the token-backed mortgage product in March 2026. Initially, it was available only through an early-access program.

Crypto is starting to count in mortgage lending

The Better and Coinbase launch comes as crypto assets are gradually gaining recognition in the U.S. mortgage market.

Back in June 2025, the Federal Housing Finance Agency (FHFA) directed Fannie Mae and Freddie Mac to develop proposals that would allow cryptocurrency held on regulated U.S. exchanges to be considered when assessing mortgage borrowers’ risk. Asset holders would not have to sell their crypto and convert it into dollars first.

The regulator also required the two institutions to account for crypto volatility and develop additional risk-management measures.

Other lenders are moving in the same direction. In January, Newrez announced that starting in February it would begin recognizing certain cryptocurrency holdings when reviewing applications for home purchases and mortgage refinancing.

Interest in such products is growing as U.S. housing prices remain high. In 2026, the median sales price of a new home was around $400,000, according to data from the U.S. Census Bureau and the Department of Housing and Urban Development.

Why take out a mortgage backed by Bitcoin

The main advantage of this structure is that BTC holders do not need to sell their cryptocurrency to fund a down payment. That allows them to keep their Bitcoin position and potentially benefit if its price continues to rise. In addition, selling a large amount of BTC may have tax consequences, while using the asset as collateral is not itself a sale.

But keeping the Bitcoin comes with higher risk. If the borrower stops servicing the loan and becomes 60 days delinquent, Better can sell the pledged BTC. The borrower also has to lock up significantly more capital than the size of the down payment loan itself: the collateral must be worth at least 2.5 times the amount borrowed.

Meanwhile, homebuyers in London are facing higher down payment requirements.

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