The Federal Housing Finance Agency (FHFA) is assessing if cryptocurrency holdings should be considered in mortgage applications, as stated by Director Bill Pulte on X.
The review will evaluate how assets, including bitcoin (BTC), could impact the income and wealth assessments for Fannie Mae, Freddie Mac, and other regional Federal Home Loan Banks that underpin the majority of U.S. mortgages.
Key points:
- The FHFA is reviewing digital asset balances in home loan applications.
- This could affect the criteria Fannie Mae and Freddie Mac use to evaluate applicants’ wealth, incorporating cryptocurrency portfolios.
- Director Bill Pulte is known to have investments in both bitcoin and various crypto assets.
Pulte’s announcement is timely, given the increasing acceptance of crypto under the current administration. He was appointed by former President Donald Trump and took office on March 14. Public disclosures reveal that he possesses significant holdings in cryptocurrencies, including up to $1 million in bitcoin and solana (SOL), together with shares in MARA Holdings and other businesses.
Currently, both Fannie Mae and Freddie Mac mandate that any cryptocurrency must be converted to U.S. dollars and held in regulated financial institutions for it to be counted in loan evaluations.
Read more: U.S. Openness to Crypto Could Raise Risk Levels in TradFi, European Regulators Say
