Better and Coinbase Launch Bitcoin-Backed Mortgages in the US

Key Facts

1Better and Coinbase launched mortgages allowing borrowers to use Bitcoin as collateral for deposits.

2The loan requires 250% collateral, meaning $250,000 in BTC must be pledged for every $100,000 received.

In a move reflecting the growing trend of integrating digital assets into traditional financial sectors, Better and Coinbase have launched a new mortgage product allowing borrowers to use Bitcoin as collateral for deposits. According to reports, this initiative aims to enable crypto holders to finance home purchases without liquidating their holdings, providing greater flexibility in managing digital wealth within the US real estate market.

The loan mechanism relies on high collateral requirements, stipulating a 250% coverage ratio, which means $250,000 worth of Bitcoin must be pledged for every $100,000 received in credit. Under this partnership, Coinbase provides custody for the pledged assets while Better handles the lending aspects; notably, market fluctuations in Bitcoin prices will not automatically trigger liquidation according to the product terms.

While specific instrument price data is currently unavailable, investors are monitoring market appetite for these high-collateral loans. Looking at the economic calendar, data from August 20, 2026, showed a slight decline in the New Housing Price Index in Canada by -0.1%, suggesting a period of cooling in regional real estate markets that may influence borrower sentiment regarding the use of volatile assets for property backing.