Crypto assets may soon help owners to secure mortgage loans; Traders wonder if this is a wise step
The post Crypto assets may soon help owners to secure mortgage loans; Traders wonder if this is a wise step appeared on BitcoinEthereumNews.com.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only. Crypto holders may now have an easier time acquiring mortgages after William Pulte, director of the FHFA, gave a direction that could see lenders considering cryptocurrency assets during the mortgage application process. Summary The FHFA has directed Fannie Mae and Freddie Mac to consider cryptocurrency in mortgage risk assessments, potentially making home loans more accessible to crypto holders. While crypto-backed mortgages offer convenience and avoid forced conversion to fiat, extreme volatility raises serious risks for borrowers who use digital assets as collateral. Wider acceptance could help crypto owners access fairer financing, but practical limits such as strict collateral requirements and narrow token eligibility remain major hurdles. On June 25, the regulator in charge of Fannie Mae and Freddie Mac ordered the housing giant to take crypto into consideration as an asset for single-family mortgage loan risk assessments. In an X post, Pulte stated that this move was in accordance with President Trump’s vision of making the US the crypto capital of the world. While Fannie Mae and Freddie Mac don’t issue mortgages, they can set rules on the kind of mortgages they are willing to buy. Imagine someone getting a mortgage yet not needing to convert their cryptocurrency into US dollars. This means that they still get to enjoy the benefits of crypto and get the mortgage as well. But the biggest question remains: Is it really a wise choice to take on a mortgage while considering crypto for risk assessment? The volatility of cryptocurrency Truth be told, crypto is one of the most volatile assets. Today, the asset could be trading at a yearly low, and within a few hours, it is on an all-time high. Take Bitcoin price…
Filed under: News - @ December 5, 2025 11:24 am