Fannie Mae has formally accepted Bitcoin and USDC as collateral for mortgage down payments, marking a historic endorsement of digital assets in the $12 trillion U.S. housing market. The program, developed with Coinbase and Better Home & Finance, allows borrowers to pledge crypto without selling it. A separate overcollateralized loan funds the down payment, while the primary mortgage remains a standard Fannie Mae-conforming loan.
No margin calls are triggered by price volatility. Liquidation occurs only after 60 days of payment delinquency - identical to conventional mortgages. Interest rates run 0.5% to 1.5% higher than standard 30-year loans. Collateral must be held on a U.S.-regulated exchange like Coinbase.
Coinbase and Better estimate this innovation unlocks $40 billion in latent consumer demand, as 41% of American households hold assets but lack cash for down payments.
Meanwhile, Bitcoin miner MARA sold $1.1 billion in BTC to retire convertible debt, reducing its holdings to $2.75 billion. Strategy’s STRC token, favored by retail investors for its 11.5% annual dividend, now holds $4 billion in retail capital - double the retail ownership of MSTR.
Tether appointed KPMG for its first independent audit of $184 billion in USDT reserves, signaling growing institutional confidence.