Cryptocurrency assets enter the mortgage market! Coinbase(COIN.US) partners with Better(BETR.US) to launch token-backed loans

LootboxPhobia · 2026-03-26T15:24:56+00:00

Coinbase and Better Home & Finance launch "Token Collateral Loans," allowing borrowers to use Bitcoin or USDC as collateral to obtain housing loans. These loans are issued by Better and supported by Coinbase. The product provides new liquidity for crypto asset holders, enabling them to participate in the real estate market without liquidating their assets. This marks a shift in the functionality of crypto assets, though future promotion will still need to consider market and regulatory factors.

LootboxPhobia

2026-03-26 15:24:56

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Crypto News Flash: Coinbase (COIN.US) and Better Home & Finance (BETR.US) jointly announced on Thursday the launch of “Token Collateralized Loans,” allowing borrowers to use cryptocurrencies as collateral to obtain home loans.

According to both parties, these loans will be issued and serviced by Better Home & Finance and, like traditional compliant mortgages, will be supported by Fannie Mae. Borrowers can use Bitcoin or USDC, a stablecoin issued by Circle (CRCL.US), as collateral, with Coinbase providing custody and technical support.

The core mechanism of this product is that qualified homebuyers in the U.S. can secure a down payment through collateral without selling their crypto assets, avoiding potential capital gains taxes. Additionally, even if Bitcoin prices fall, loan terms will remain unchanged, and borrowers won’t need to provide additional collateral.

Industry experts note that this model offers a new liquidity channel for crypto holders, enabling them to participate in the real estate market without liquidating their assets. Vishal Garg, CEO of Better Home & Finance, stated that the company aims to provide a new pathway for the approximately 52 million Americans holding digital assets to achieve homeownership.

Analysts believe that the launch of token collateralized loans marks a shift of crypto assets from “investment tools” to “financial collateral.” However, whether this product can be widely adopted in the future will depend on factors such as crypto price volatility, regulatory frameworks, and market acceptance.

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