New Housing Policy Aims to Boost Homeownership with Cryptocurrency
The soaring interest rates and increasing construction costs are pushing the dream of homeownership further out of reach for many Americans. However, new policies from the Trump administration offer a potential path back to that dream, particularly for younger generations.
Recently, Trump’s Federal Housing and Finance Director, Bill Prute, announced initiatives for Fannie Mae and Freddie Mac. They’ve been instructed to prepare to consider cryptocurrency as an asset for homeowners applying for detached home mortgages.
This shift aligns with the administration’s broader focus on technology and innovation. It could provide some insulation against currency volatility, which would enable lower mortgage interest rates. Moreover, it opens avenues for Americans to diversify their asset portfolios.
Young homeowners, often more likely to have crypto assets, could particularly benefit from this policy. Yet, ironically, they’re struggling the most to achieve homeownership. For instance, the National Association of Home Builders reported that homeownership rates for those under 35 dropped to just 36.6% in early 2025, marking a six-year low.
Importantly, this new risk assessment proposal only considers cryptocurrencies held on U.S. regulated centralized exchanges and applies solely to single-family mortgage applications.
These cryptocurrency exchanges must adhere to various federal and state regulations, including stringent “know your client” rules to prevent fraud and anti-money laundering practices. Well-known exchanges in the U.S. include Coinbase, Kraken, and Robinhood. (Full disclosure: I hold cryptocurrency through Robinhood and support this proposal.)
This policy doesn’t require converting cryptocurrencies into U.S. dollars. It also excludes cryptocurrencies stored in independent wallets. Risk management is a focus here, as the administration aims to account for volatility, capping the amount crypto can count toward financial reserves. This could help ensure financial stability supported by more traditional assets.
According to a report by Nicholas Growth from Ark Invest, only about 5% of mortgage borrowers might qualify under these new criteria related to crypto assets. Still, this could lead to approximately $100 billion in mortgage origination—a significant impact, as each percentage increase could contribute another $20 billion.
If finalized, this rule might pave the way for a broader acceptance of cryptocurrencies in the mortgage sector, with considerable potential implications. A recent Harris Poll revealed that 21% of U.S. adults own digital assets, and among nearly 55 million crypto owners, about 6 million have over $100,000 in these assets.
Data from Iemergent shows that last year, $1.82 trillion in mortgages were secured, averaging about $340,000 per loan.
The National Association of Home Builders has indicated that the overall homeownership rate in the U.S. fell to 65.1% in early 2025. With high mortgage rates and limited supply of homes, affordable prices have hit lows not seen in decades. Homeownership peaked at 69.2% in 2004, significantly higher than today’s figures, which are also below the 25-year average of 66.3%.
This move from President Trump could create a new link between blockchain-based financing and the massive $12 trillion U.S. mortgage market.
Of course, new technologies come with their risks. But as long as those risks are managed properly, it could help maintain America’s leadership in innovation and prosperity. This appears to be a significant step for the housing market as we move further into the 21st century.
