Coinbase and Better launch Fannie Mae‑conforming mortgages secured by Bitcoin, prompting risk concerns

Mortgage lender Better and Coinbase announced a product that allows crypto holders to pledge Bitcoin as collateral when applying for Fannie Mae‑conforming loans, enabling borrowers to secure a home without liquidating their digital assets ^{[1] [2] [3]}.

According to the partners’ disclosures and industry coverage, the program integrates on‑chain assets into the mortgage underwriting process so that digital wealth can be considered alongside traditional qualification metrics under Fannie Mae standards ^{[1] [2] [3]}.

The move has prompted criticism from some observers: investor Peter Schiff warned that permitting crypto‑backed mortgages could expose lenders to higher default risk and potentially amplify housing‑market vulnerabilities ^[4].

The initiative marks the first time Fannie Mae‑eligible loans will explicitly accept crypto collateral, drawing a mix of industry adoption and cautionary commentary as traditional mortgage markets adapt to digital‑asset collateralization ^{[2] [4]}.