Fannie Mae and Freddie Mac Directed to Recognize Cryptocurrency as an Asset in Mortgage Purchases
June 25, 2025 — In a significant move reflecting the increasing acceptance of digital currencies, the Federal Housing Finance Agency (FHFA) has ordered Fannie Mae and Freddie Mac to consider cryptocurrency holdings when evaluating mortgage purchases. This directive marks a shift in how these government-backed giants will assess borrower assets, potentially broadening homeownership accessibility.
FHFA’s New Directive on Cryptocurrency
William Pulte, who took office as the director of the FHFA earlier this year, issued an order on Wednesday instructing Fannie Mae and Freddie Mac to develop a formal proposal that incorporates cryptocurrencies as qualifying assets for reserves during risk assessments of single-family home loans. According to the order, the agencies are required to present their proposals as “soon as reasonably practical.”
Crucially, Pulte emphasized that mortgage risk assessments should not mandate converting cryptocurrency assets into U.S. dollars. Instead, only cryptocurrencies that are:
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Evidenced and stored on U.S.-regulated centralized exchanges
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Subject to all applicable laws
will be considered valid in their risk evaluations.
This approach acknowledges both the evolving nature of digital assets and the importance of regulatory oversight in maintaining market stability.
Background and Implications
Historically, banks seeking to issue mortgages that qualify for purchase by Fannie Mae and Freddie Mac have only taken into account cryptocurrency holdings once those assets were liquidated into traditional currency. Now, with this policy change, a borrower’s crypto portfolio could directly influence their creditworthiness calculations, potentially making it easier for more individuals to secure home loans.
The FHFA’s initiative comes amid growing popularity of cryptocurrencies like Bitcoin and Solana, which some investors view as alternatives or supplements to conventional investments such as bonds and stock portfolios.
According to public disclosures from January 2025, Director Pulte’s family personally holds significant cryptocurrency assets, including bitcoin valued between $500,000 and $1 million, as well as a similar range in Solana’s SOL tokens.
Market and Economic Impact
Fannie Mae and Freddie Mac play a crucial role in the U.S. housing market, purchasing mortgages that meet specific risk criteria from banks to provide liquidity. Together, they guarantee roughly half of the $12 trillion in home loans across the country. By recognizing cryptocurrencies as part of borrowers’ asset portfolios, these agencies may foster increased participation in the housing market from individuals who have invested in digital currencies.
Since being placed under government conservatorship following the 2008 financial crisis, Fannie and Freddie have been essential to ensuring stability and affordability in the home mortgage sector.
Next Steps
FHFA has tasked Fannie Mae and Freddie Mac with preparing comprehensive proposals for how cryptocurrency assets will be integrated into mortgage risk assessments. The directive aims to embrace innovation in borrower evaluation methods while enforcing prudent safeguards to manage the unique risks presented by crypto assets.
As the agencies work toward finalizing their approach, industry observers anticipate this development could influence lending practices nationwide and potentially shape future regulatory frameworks involving digital currencies in real estate finance.
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