Coinbase Launches Crypto-Backed Mortgages in US

Crypto-backed mortgages are now available to borrowers in the US through a partnership between Coinbase and Better Mortgage.

The product allows borrowers to pair a standard conforming mortgage with a separate loan secured by pledged Bitcoin, rather than putting up the entire down payment in cash.

Better originates and services both loans, while Coinbase provides the infrastructure for holding the crypto collateral.

A borrower buying a $500,000 home could pledge $250,000 in Bitcoin to support a $100,000 down payment, with the exact amount depending on the lender's underwriting and collateral requirements.

Better requires that the pledged BTC be worth at least 250% of the down payment loan amount.