Homebuyers Can Now Use Bitcoin for Mortgage Down Payments
A Bitcoin-backed mortgage from Better and Coinbase lets US buyers use BTC as down payment collateral without selling it, subject to eligibility.
Better Mortgage and Coinbase have made their Bitcoin-backed mortgage product generally available, allowing US homebuyers to pledge Bitcoin as collateral for a down payment without selling it.
How the Bitcoin-Backed Loan Structure Works
According to Coinbase’s Help Center, the product pairs a Fannie Mae-backed home loan with a separate down payment loan secured by Bitcoin. Borrowers must pledge BTC worth at least 250% of the down payment loan, with the pledged Bitcoin transferred to Better’s custodial account on Coinbase Prime.
The two loans carry the same interest rate and amortization term and are repaid through a single monthly payment. The pledged BTC is returned once the mortgage is fully repaid or refinanced, subject to the loan terms.
A decline in Bitcoin’s price alone does not trigger a margin call or change the mortgage terms. Better can liquidate the pledged BTC if a borrower becomes 60 days delinquent on payments, according to Coinbase.
Eligibility and the Coinbase One Rebate
Borrowers must be US residents with a verified Coinbase account and remain subject to Better’s credit, income and other underwriting requirements.
Coinbase One members are eligible for a 1% rebate from Better, subject to a $10,000 cap, that can be used toward closing costs and fees. Better and Coinbase first announced the token-backed mortgage in March and initially opened it through an early-access program.
FHFA Directive and Mortgage Underwriting
The product arrives amid efforts to incorporate digital assets into US mortgage underwriting. In June 2025, the Federal Housing Finance Agency directed Fannie Mae and Freddie Mac to develop proposals to consider cryptocurrency held on US-regulated centralized exchanges as an asset in single-family mortgage risk assessments, without requiring conversion to US dollars.
The directive also required the two government-sponsored enterprises to consider risk-mitigation measures for crypto volatility and submit proposed changes to their boards for approval before FHFA review.
Other US lenders have also taken steps involving cryptocurrency holdings in mortgage applications. Mortgage lender and servicer Newrez announced in January that it would recognize certain cryptocurrency holdings when evaluating mortgage applications beginning in February, including for home purchases and refinancing.
Housing Prices Remain Elevated
The expansion of Bitcoin-backed home financing comes as US housing prices remain near historic highs. The median sales price of a new US home was about $400,000 in 2026, according to data from the US Census Bureau and Department of Housing and Urban Development compiled by the Federal Reserve Bank of St. Louis.
For homebuyers who hold Bitcoin, the Better-Coinbase product offers a structure that uses BTC as collateral for a down payment while retaining the conventional credit, income and underwriting requirements of a mortgage application.
FHFA Proposals Remain Under Development
Fannie Mae and Freddie Mac were directed to develop proposals for considering cryptocurrency held on US-regulated centralized exchanges in single-family mortgage risk assessments. Under the directive, proposed changes must receive board approval before FHFA review.
