Better Mortgage and Coinbase have launched a Bitcoin-backed mortgage product for U.S. homebuyers, allowing borrowers to use BTC as collateral for a down payment without selling their holdings. The structure combines a Fannie Mae-backed mortgage with a separate down payment loan secured by Bitcoin. Borrowers must pledge BTC worth at least 250% of the down payment loan, with the collateral held in a Better custodial account on Coinbase Prime. Both loans carry the same interest rate and amortization term and are repaid through a single monthly payment. Better said a drop in Bitcoin’s price alone will not trigger a margin call or change loan terms, though the company can liquidate the pledged BTC if a borrower is 60 days delinquent. The product was first announced in March and opened for early access at that time. The rollout comes after the U.S. Federal Housing Finance Agency in June 2025 directed Fannie Mae and Freddie Mac to study the use of crypto in mortgage risk assessments, while mortgage lender Newrez said in January that it would begin recognizing some crypto assets in mortgage application reviews starting in February.
Better Mortgage and Coinbase said their Bitcoin-backed mortgage product is now fully available, letting U.S. homebuyers use BTC as collateral for a down payment without selling it.
The product combines a Fannie Mae-backed home loan with a separate down payment loan secured by Bitcoin. Borrowers must pledge BTC worth at least 250% of the down payment loan, and the collateral will be placed in a Better custodial account on Coinbase Prime.
How the loan is structured
The two loans carry the same interest rate and amortization term, and borrowers repay them through a single monthly payment. Once the mortgage is paid off in full, or refinanced, the pledged Bitcoin will be returned.
Terms on price moves and delinquency
According to the announcement, a drop in Bitcoin’s price by itself will not trigger a margin call or change the loan terms. If a borrower becomes 60 days delinquent, however, Better has the right to liquidate the pledged BTC.
Eligibility and member incentive
Applicants must be U.S. residents and hold a verified Coinbase account. Coinbase One members can also receive 1% back, up to $10,000.
Timeline and industry backdrop
The product was first announced in March this year and opened for early access at that time.
The launch follows a June 2025 directive from the U.S. Federal Housing Finance Agency instructing Fannie Mae and Freddie Mac to study whether cryptocurrency can be included in mortgage risk assessments. Mortgage lender Newrez had also said in January that, starting in February, it would recognize certain crypto assets when evaluating mortgage applications.
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