US Housing Chief Orders Fannie Mae, Freddie Mac to Prepare for Crypto Assessment in Mortgages
The Federal Housing Finance Agency (FHFA) has directed Fannie Mae and Freddie Mac to prepare for accepting cryptocurrency as a form of mortgage-related payment. This marks a significant step towards integrating digital assets into the federal mortgage system. The FHFA believes that considering cryptocurrencies as borrower assets could enhance loan risk assessment and broaden homeownership access. Fannie Mae and Freddie Mac must determine how to classify crypto as a qualifying asset, although specific cryptocurrencies have not been identified. Reactions have been mixed, with some praising the move for institutional Bitcoin adoption, while others criticized the requirement for crypto to be held on centralized exchanges rather than self-custody wallets. Following the announcement, the housing-themed meme coin Housecoin surged by 20%.
