The director of the FHFA has a new plan to integrate crypto into housing finance.
William Pulte wants Fannie and Freddie to count crypto as an asset when assessing mortgage risk.
This decision is in line with the Trump administration’s pro-crypto focus.
Aspiring homebuyers might be able to count crypto as an asset when applying for a mortgage.
The Director of the Federal Housing Finance Agency wants Fannie Mae and Freddie Mac to count cryptocurrency as an asset in mortgage lending assessments.
William Pulte, director of the federal housing agency, revealed this week that he has instructed both mortgage finance giants to prepare proposals to start considering crypto as an asset when considering single-family home loan risks.
In posts on X, Pulte touted the benefits of this proposal, describing the real estate, housing, mortgage lending industries as being “forever changed” by this addition, noting the Trump administration’s focus on spurring crypto adoption.
“After significant studying, and in keeping with President Trump’s vision to make the United States the crypto capital of the world, today I ordered the Great Fannie Mae and Freddie Mac to prepare their businesses to count cryptocurrency as an asset for a mortgage,” Pulte announced.
Importantly, crypto owners would not need to liquidate their crypto into dollars in order for it to be counted among their assets when applying for a home loan.
The decision is the administration’s latest step to bolster its pro-crypto position, which has included boosting crypto through a newly formed strategic stockpile. Recently passed legislation also aims to boost digital assets, with the GENIUS Act creating a framework for stablecoins.
White House AI and Crypto Czar David Sacks posted to X in support of Pulte’s order.
The official order shared by Pulte describes crypto as an “emerging asset class” that may offer investors the opportunity to build wealth outside of more traditional markets, such as stocks and bonds.
While it notes that crypto assets have not typically been considered as part of mortgage risk assessments, the proposal indicates that the FHFA has deemed it necessary for both lenders to consider “the full spectrum of asset information available for reserves” as it works to facilitate home ownership for aspiring borrowers.
His order notes that Fannie and Freddie may only consider cryptos that can be “evidenced and stored on US-centralized exchanges” subject to applicable laws. It also orders the lenders to consider the risks that come with crypto “per their own assessment” such as adjusting for volatile market conditions.
Fannie and Freddie shares have soared this year as Trump mulls re-privatizing the mortgage finance companies. Both were taken over by the government in the wake of the 2008 financial crisis.
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