US FHFA to Study Use of Crypto Holdings in Mortgage Qualification Criteria

The Federal Housing Finance Agency (FHFA) in the United States is exploring whether crypto assets like Bitcoin and stablecoins could be considered part of the asset base used to determine mortgage eligibility.

The move could significantly impact how financial institutions assess creditworthiness, especially if cryptocurrency becomes formally recognized in the mortgage underwriting process.

SEC Rule Change Paves Way for Crypto Integration

William Pulte, the current director of the FHFA, announced via a post on X that the agency will study the use of cryptocurrency holdings in relation to mortgage qualification.

We will study the usage pf cryptocurrency holdings as it relates to qualifying for mortgages.

— Pulte (@pulte) June 24, 2025

If approved, this would represent a structural shift in the way traditional lending institutions integrate with digital asset markets. The FHFA regulates government-sponsored entities such as Fannie Mae and Freddie Mac, which play a central role in the US mortgage market.

Prior to this development, banks were limited in their ability to provide crypto-backed loans due to US Securities and Exchange Commission (SEC) guidance known as SAB 121.

This rule required publicly listed firms to report crypto held on behalf of clients as liabilities, making it capital-intensive for banks to handle these assets. However, this guidance was rescinded in January 2025, creating a regulatory opening for more expansive crypto integration into financial services, including mortgage lending.

Although crypto-backed mortgages already exist through niche financial companies, they are typically reserved for high-net-worth individuals or tech-savvy investors.

These offerings often involve borrowers securing loans in fiat currency while pledging digital assets as collateral, with strict requirements and the risk of margin calls if asset values fall.

If the FHFA moves forward with including digital currency in mortgage assessments, such services may become more accessible and could be offered by traditional banking institutions.

Potential Policy Implications and Changing Borrower Profiles

Inclusion of crypto holdings in mortgage assessments could have broader implications for both borrowers and lenders. A report released in late 2024 highlighted a trend where some low-income households had been using profits from cryptocurrency investments to pay down mortgage debt.

The same report noted a marked increase in borrowing in areas with high levels of digital currency adoption, suggesting that digital assets are becoming a financial tool across a wider socioeconomic spectrum.

The FHFA has not yet outlined a timeline for implementing any changes, nor has it specified which cryptocurrencies might qualify as eligible assets. However, the agency’s willingness to explore such an option indicates a growing acceptance of digital assets in regulatory circles.

Future policy discussions are expected to focus on risk assessment, asset volatility, and standardized guidelines for valuation. Whether this leads to the emergence of crypto-integrated mortgage products from major US banks remains to be seen, but the discussion signals an evolving view of what constitutes viable wealth in modern finance.

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