The new order directs the mortgage giants to consider crypto held on U.S. CEXs as assets in mortgage risk assessments.
The Federal Housing Finance Agency (FHFA) has directed the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) to consider cryptocurrency holdings in single-family mortgage loan risk assessments.
The order – signed on Wednesday, June 25, by FHFA Director William J. Pulte – marks the first official move to incorporate crypto assets into the U.S. mortgage approval process. Under the order, the firms have to generate proposals that include verified crypto holdings as part of an applicant’s assets, “without conversion of said cryptocurrency to U.S. dollars.”
Fannie Mae and Freddie Mac are government-sponsored financial companies that buy and guarantee home loans. They were taken over by the FHFA via conservatorship in 2008 after losing billions in the housing crisis.
Combined, the mortgage giants currently boast around $7.7 trillion in total assets.
The move comes as interest in and access to digital assets continue to grow. Currently, the total cryptocurrency market capitalization stands at $3.4 trillion, up 43% from a year ago, according to CoinGecko. Meanwhile, Bitcoin (BTC), the largest cryptocurrency by market cap, has recorded a price surge of nearly 73% over the past year and is currently trading near $107,000.
“After significant studying, and in keeping with President [Donald] Trump’s vision to make the United States the crypto capital of the world, today I ordered the Great Fannie Mae and Freddie Mac to prepare their businesses to count cryptocurrency as an asset for a mortgage,” said Pulte on Wednesday in a post announcing the move on X, referencing President Trump’s push to create a more crypto-friendly environment in Washington.
Pulte was sworn in as the 5th director of the FHFA by President Trump in March.
The order didn’t specify which cryptocurrencies can be considered as assets for a mortgage, but it did note that the digital assets must be held on centralized exchanges (CEXs) regulated in the United States:
“Each Enterprise is directed to consider only cryptocurrency assets that can be evidenced and stored on a U.S.-regulated centralized exchange subject to all applicable laws.”
Both firms are also required to submit their plans to their respective Board of Directors for approval and then to the FHFA for final review.
“This development with Fannie Mae and Freddie Mac exploring crypto as an asset for mortgage eligibility is a landmark moment – one that acknowledges that modern wealth doesn’t always sit in traditional bank accounts,” Adam Reeds, co-founder and CEO of Ledn, in comments shared with The Defiant:
“For many bitcoin holders, selling their crypto to help qualify for a mortgage means incurring massive capital gains taxes and giving up future upside.”
In contrast, Reeds explained, borrowing against their BTC “preserves wealth, provides flexibility, and avoids the red tape of traditional underwriting.”
Earlier this month, Bloomberg reported that JPMorgan Chase plans to offer clients financing against crypto exchange-traded funds (ETFs).
