Coinbase and Better to Offer Token-Backed Mortgage Down Payments by Summer 2026

Coinbase and Better Home & Finance announced Thursday that qualified borrowers will be able to pledge Bitcoin or USDC as collateral for down-payment loans on Fannie Mae-backed mortgages beginning by summer 2026. The structure lets borrowers keep their digital assets while using them to meet the initial cash requirement for home purchases.

The companies said the product addresses cases where applicants meet income and credit standards but lack liquid funds in traditional accounts.

Background and regulatory context Better founder and CEO Vishal Garg said the initiative expands access for borrowers whose wealth is held in digital form. He stated in a March post that tokenization represents a broader shift in how financial assets will be used for housing purchases.

The program follows a June 2025 directive from the Federal Housing Finance Agency instructing Fannie Mae and Freddie Mac to consider unconverted cryptocurrency holdings in mortgage underwriting. Other lenders have introduced similar policies since that order.

Legislative and oversight developments Five U.S. senators wrote to FHFA leadership in July 2025 expressing concern that including unconverted crypto assets could affect housing-market stability. Republican lawmakers have introduced legislation to codify the FHFA directive into statute.

The price volatility of cryptocurrencies remains a factor the companies and regulators will monitor as the product rolls out.