Better Home & Finance Holding Company (BETR) and Coinbase (COIN) have announced the completion of the first mortgage backed by bitcoins and eligible for Fannie Mae guarantees in the United States, according to a company statement.
The companies plan to make this product available to qualified borrowers nationwide by summer 2026. This mortgage product allows borrowers to collateralize digital assets, including bitcoin and USDC, as security without having to liquidate their positions.
The first loan was granted to a married couple in Ann Arbor, Michigan, who used their bitcoin holdings as collateral to acquire their home. Borrowers avoided having to sell their digital assets and pay the associated capital gains taxes while securing their mortgage.
“The 30-year fixed mortgage was designed for a generation that saved their money in a bank account and built wealth with a single employer,” said Vishal Garg, founder and CEO of Better. “That’s not the financial reality for millions of qualified buyers today who are building real wealth in digital assets.”
Better reported that 41% of its pre-approved clients meet income and credit requirements but lack the cash needed for a traditional down payment. According to data from the National Association of Realtors, the median age of first-time homebuyers has reached 40, compared to 32 a decade ago.
Companies are planning to expand their offerings to other digital assets as the market develops. Coinbase provides the custody, compliance, and risk management infrastructure for this mortgage product.
“Tens of millions of Americans have built real wealth in digital assets,” said Mark Troianovski, Head of Consumer Partnerships and Platforms at Coinbase. “This wealth now has a direct path to homeownership.”