Better Launches Bitcoin-Backed Mortgages With Coinbase

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Better and Coinbase have introduced a crypto-backed mortgage product that allows US homebuyers to use Bitcoin as collateral for a down payment without selling their holdings.

Better Mortgage and Coinbase announced Wednesday that their Bitcoin-backed mortgage product is now generally available, allowing US homebuyers to pledge Bitcoin as collateral for a down payment without having to sell their holdings.

According to Coinbase’s Help Center, the product combines a Fannie Mae-backed mortgage with a separate down payment loan secured by Bitcoin (BTC). Borrowers must pledge BTC worth at least 250% of the down payment loan, with the collateral transferred to Better’s custodial account on Coinbase Prime.

Coinbase said the two loans have the same interest rate and amortization period and are repaid through one monthly payment. Once borrowers fully repay or refinance the mortgage, the pledged BTC is returned, subject to the loan terms.

Bitcoin price declines alone do not result in margin calls or changes to the mortgage terms. However, Coinbase said Better can liquidate the pledged BTC if a borrower becomes 60 days delinquent on payments.

Borrowers must be US residents with a verified Coinbase account and still meet Better’s credit, income and other underwriting requirements. Coinbase One members are also eligible for a 1% rebate from Better, capped at $10,000, which can be applied toward closing costs and fees.

Better and Coinbase first unveiled the token-backed mortgage in March, initially making it available through an early-access program.

Crypto Gains More Ground in the US Mortgage Market

The Better-Coinbase product arrives as broader efforts are underway to integrate digital assets into US mortgage underwriting.

In June 2025, the Federal Housing Finance Agency directed Fannie Mae and Freddie Mac to develop proposals for considering cryptocurrency held on US-regulated centralized exchanges as an asset in single-family mortgage risk assessments, without requiring borrowers to convert it into US dollars.

The directive also asked the two government-sponsored enterprises to evaluate risk-mitigation measures for crypto’s volatility and submit any proposed changes to their boards before FHFA review.

Other US lenders have also started moving in this direction. Mortgage lender and servicer Newrez announced in January that it would consider certain cryptocurrency holdings when assessing mortgage applications beginning in February, including applications for home purchases and refinancing.

The growth of Bitcoin-backed home financing comes as US housing prices remain close to historic highs. Data from the US Census Bureau and Department of Housing and Urban Development, compiled by the Federal Reserve Bank of St. Louis, put the median sales price of a new US home at around $400,000 in 2026.

Marton K.
Marton K.https://thecoingraph.com
Marton is seasoned crypto and finance journalist with over four years of experience. He has contributed to several high-profile outlets.

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