Coinbase has made history by helping a homeowner secure a mortgage insured by Fannie Mae using Bitcoin as collateral. This marks the first time digital assets have been used in this way within the traditional U.S. housing market, which usually relies on cash or bank savings.
Summary
- Coinbase and Better Mortgage have completed the first Fannie Mae-insured U.S. mortgage backed by Bitcoin collateral.
- Borrowers can pledge Bitcoin and USDC without selling their holdings, with the assets held in a custodial account during the mortgage process.
- Better Mortgage expects up to $250 million in loan volume from its waitlist, while Coinbase plans a nationwide rollout later this summer.
Coinbase worked with Better Mortgage to complete the transaction. Better Mortgage handled the loan itself, while Coinbase provided the technology to safely hold the borrower’s Bitcoin.
The first mortgage in the U.S. backed by Bitcoin and insured by Fannie Mae has been approved. The loan was provided by Better, using Coinbase technology, and will be available across the country this summer.
— Coinbase 🛡️ (@coinbase) June 4, 2026
According to a report from Yahoo Finance, the home loan was given to Joe and Amy, a married couple living in Ann Arbor, Michigan.
Instead of selling their Bitcoin to cover the down payment, the buyers used it as collateral in a secure account. According to reports, Joe explained this allowed them to both buy a home and still benefit from any future increase in the value of their Bitcoin.
This new offering follows Coinbase’s recent launch of a product for investing in private companies before they go public. Just a day earlier, Coinbase introduced perpetual futures contracts settled in USDC, starting with one linked to SpaceX, which allows qualified traders to use up to 5x leverage.
Bitcoin serves as mortgage collateral
Coinbase is now allowing approved borrowers to use their Bitcoin and USDC as collateral for mortgages without having to sell them. After getting approved for a loan through Better Mortgage, customers can move their cryptocurrency into a secure Coinbase wallet, which then secures the loan.
Roy Zhang, Coinbase’s director of product, explained that the process is completed digitally.
Users interact with our product and begin the application process on Better. Once approved, they link their Coinbase account and, with just one click, transfer their bitcoin to a secure wallet. That completes the process.
Better Mortgage is taking sign-ups for its new product before officially launching it this summer. Based on the number of people already on the waitlist, the company expects to issue around $250 million in loans.
Vishal Garg, the CEO and founder of Better, explained that offering traditional mortgages backed by cryptocurrency is a logical next step, given how people are increasingly investing their money.
According to Garg, a growing number of Americans are choosing to store their money in digital assets like cryptocurrency instead of traditional bank accounts. This is driving a need for financial products that can consider these digital holdings when offering loans or other financing.
Mortgage meets Fannie Mae standards
Fannie Mae’s participation is central to this deal. As we previously reported in March, the mortgage company stated it would start considering cryptocurrency as part of a down payment assessment for mortgages.
Garg explained that the finished mortgage meets the standards for a loan backed by Fannie Mae. He clarified this means the loan follows standard mortgage guidelines, rather than being a non-traditional product.
He explained that when a government-backed organization accepts digital assets, it acknowledges them as valid collateral, just like traditional assets. In the future, Garg believes tokenized mortgages could even include other digital assets, such as tokenized stocks.
Coinbase is adding mortgages to its growing list of financial products that utilize cryptocurrency. In addition to this new home financing option, the exchange announced plans to offer more futures contracts for companies before they go public. These contracts will focus on growing industries like artificial intelligence, energy, technology, and space, building on their recently launched contract tied to SpaceX.
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2026-06-04 20:25