Crypto
Better and Coinbase Launch Bitcoin-Backed Mortgages for US Homebuyers
Better and Coinbase have launched a mortgage product that allows US homebuyers to use Bitcoin as collateral for a down payment loan.
The product combines a Fannie Mae-backed mortgage with a separate Bitcoin-backed loan, where borrowers must pledge at least 250% of the down payment loan in Bitcoin.
The pledged Bitcoin is moved to Better's custodial account on Coinbase Prime and remains there during the loan. If the borrower misses payments, Better can sell the Bitcoin after 60 days, but Bitcoin price fluctuations alone do not trigger margin calls or change mortgage terms.