Key facts
- Coinbase and Better Mortgage closed the first Fannie Mae-insured mortgage backed by Bitcoin in the US.
- Borrowers can use Bitcoin or USDC as collateral for down payments without selling their crypto.
- Pledged crypto is held in Coinbase Prime custody and returned upon loan repayment.
- Collateral is only at risk if a borrower is 60 days delinquent.
- The product is built on Fannie Mae's conforming mortgage framework.
Coinbase and Better Home & Finance Holding Company have closed the first Fannie Mae-insured mortgage in the United States collateralized by Bitcoin. This allows homeowners to use their Bitcoin holdings for down payments without liquidating their positions or incurring immediate capital gains taxes. The product involves a conventional mortgage for the property and a separate loan secured by pledged Bitcoin or USDC for the down payment. Pledged crypto is held in Coinbase Prime custody and returned upon full loan repayment. The product has no margin calls; collateral is only at risk if a borrower is 60 days delinquent. Bitcoin requires collateral equal to 250% of the down payment loan, while USDC requires 125%. The first borrowers, Joe and Amy, used the program to pledge their crypto as collateral and complete the purchase of their first home. Better plans to expand eligible assets to include tokenized equities, fixed income, and other real estate assets. A nationwide rollout is planned for summer 2026, with an estimated $250 million in loan volume projected from the waitlist.