Better Home & Finance and Coinbase launch BTC/USDC-collateral mortgage to boost access, draw risk warnings

Better Home & Finance and Coinbase launched a Bitcoin-backed mortgage product on 26 March 2026 that allows borrowers to pledge Bitcoin or USDC as collateral in lieu of a cash down payment, enabling applicants to retain ownership of their crypto rather than selling it at closing ^[1].

Industry commentators and outlets say the rollout could expand pathways to homeownership for crypto holders; some reports note that traditional mortgage infrastructure is beginning to accommodate crypto-linked products, with observers arguing the approach may help buyers who do not meet conventional down-payment or liquidity requirements ^{[2] [3]}.

At the same time, critics have flagged potential downsides: economists such as Peter Schiff warn that crypto-backed mortgages could raise costs and borrower risk, and some analyses highlight structural concerns—including features of dual loan arrangements—that may affect default risk and housing stability ^{[4] [1]}.

The product launch marks a concrete step toward integrating digital-asset collateral into mortgage lending, drawing both interest for its potential to broaden access and criticism over added risk, underscoring an ongoing debate as lenders and regulators assess these products ^{[1] [3] [4]}.