Coinbase and Better Close First Bitcoin-Backed Mortgage; Nationwide Rollout Planned for Summer

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According to The Block, Coinbase and Better Home & Finance have funded the first bitcoin-backed conforming mortgage approved by Fannie Mae and plan to expand the product nationwide by summer. The borrowers, a married couple in Michigan, pledged bitcoin as collateral to secure their down payment without selling their digital assets, allowing them to purchase their first home. The product structure involves two simultaneous loans: a standard $400,000 Fannie Mae mortgage plus a separate crypto-backed loan for the down payment, with bitcoin pledged at a 2.5-to-1 collateral ratio and USDC at 1.25-to-1. Both loans share the same interest rate and amortization schedule, creating a single monthly payment. Demand has been strong ahead of the launch, with the waitlist representing approximately $250 million in potential loan volume.
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