Coinbase Brings Crypto Wealth into Mainstream Mortgages Nationwide
Coinbase Global and Better Mortgage have teamed up to create a token-backed conforming mortgage product that allows borrowers to pledge their cryptocurrency assets. The product, which meets Fannie Mae guidelines, will be available nationwide. This partnership is expected to help Better Mortgage attract customers and differentiate itself in a challenging housing market.
According to Better Mortgage, 41% of its pre-approved customers meet income and credit requirements but lack enough cash for a conventional down payment. By allowing borrowers to pledge their crypto assets, the company aims to bridge this gap without requiring them to sell their holdings. This approach may appeal particularly to younger buyers whose wealth is concentrated in digital assets.
Coinbase's involvement in this project expands its reach beyond trading and supports its goal of becoming an 'everything exchange' that connects crypto wealth with real-world spending and borrowing needs. The company estimates that the demand for this product is strong, with a June waitlist representing over $260 million in projected loan volume.