Revolutionizing Homeownership: Cryptocurrency Assets Join the Mortgage Industry
In a groundbreaking move, leading US mortgage lender Newrez has introduced a forward-thinking initiative that allows borrowers to use cryptocurrency holdings—such as Bitcoin and Ethereum—to qualify for mortgage loans. Starting February 2026, this innovation bridges the gap between traditional finance and the rapidly growing digital currency space.
Crypto-Friendly Mortgages: How It Works
The new program applies exclusively to Newrez’s Smart Series product suite, which caters to non-qualified mortgage loans outside standard government-backed lending guidelines. Eligible assets include Bitcoin, Ethereum, USD-pegged stablecoins, and spot crypto exchange-traded funds. These assets can serve as proof of reserves and income stability for mortgage applications. Borrowers will no longer need to liquidate their digital holdings, avoiding taxable events and market exit risks.
“We believe that now is the right time to prudently integrate eligible crypto assets into modern mortgage lending—enabling consumers to preserve investments while accessing innovative financing solutions,” shared Baron Silverstein, President of Newrez.
Strict Guardrails for Borrowers
While this initiative is revolutionary, the lender has set clear guidelines to ensure transparency and financial safety. Borrowers must use US-regulated entities—such as compliant exchanges, SEC- or FINRA-regulated brokerages, or retail FinTech apps—for asset custody. Digital assets held in decentralized finance (DeFi) protocols or self-custody wallets will not be eligible.
Even with cryptocurrency qualifying for the underwriting process, down payments and closing costs must still be paid in traditional US dollars. Crypto investments will also be assessed using market-adjusted valuations to account for price volatility, ensuring lending remains stable.
A Millennial and Gen Z-Centric Approach
Internal data from Newrez indicates that nearly 45% of Millennial and Gen Z investors already own cryptocurrency. This demographic, seen as the core group of future and first-time homebuyers, has struggled with traditional methods that require liquidating digital assets for mortgage proof. This change directly addresses these challenges while promoting homeownership accessibility.
Shifting Financial Regulations Encourage Innovation
Newrez’s announcement aligns with a policy shift from the Federal Housing Finance Agency (FHFA) in June 2025, which directed housing giants Fannie Mae and Freddie Mac to explore digital assets in mortgage lending risk models. This is part of a broader effort to align federal housing regulations with evolving financial landscapes, signaling a positive step forward for crypto integration in traditional sectors.
Take Advantage of Innovation in Real Estate
As digital currencies continue to redefine the global financial system, this integration into real estate financing represents an exciting new avenue for homeowners. For example, if you’re considering preparing for homeownership with tools that work across traditional and crypto spaces, consider Coinbase for easy-to-use cryptocurrency management. Accessible platforms like Coinbase allow users to safely store, track, and grow investments, ideal for borrowers preparing for crypto-backed mortgages.
Newrez’s forward-thinking policy reflects a growing trend of embracing digital finance across industries, marking a significant step toward financial inclusivity for all generations.
