The US Federal Housing Finance Agency (FHFA) just dropped a big one for Bitcoin and the crypto world. They’ve told Fannie Mae and Freddie Mac – the giants of the US mortgage market – to start figuring out how to let people use their crypto as part of their assets when applying for a home loan.
Crypto Goes Mainstream in Mortgages
This is huge. Before, you had to convert your crypto to dollars before applying for a mortgage. Now, the FHFA wants to see how to include crypto held on US-regulated exchanges directly in the application process. This move is in line with past efforts to make the US a global crypto leader. The FHFA’s new director, Bill Pulte, is pushing this forward.
Of course, there are some caveats. Fannie Mae and Freddie Mac need to figure out how to deal with the volatility of crypto prices and build in some serious risk management. They won’t just blindly accept any crypto holdings.
Bitcoin’s Big Win, XRP’s Uncertain Future
Bitcoin is the clear winner here. It’s the biggest and most established cryptocurrency, making it a natural fit for this kind of mainstream acceptance. It’s already traded on major US exchanges and has plenty of liquidity.
But what about XRP? XRP’s history with US regulators has been rocky, especially with the SEC. While things are looking up after some recent legal developments, it’s not a sure thing that Fannie Mae and Freddie Mac will include it right away.
The FHFA’s order doesn’t list specific cryptocurrencies, only mentioning those held on US-regulated exchanges. This leaves the door open for XRP and other cryptos like Ethereum to potentially be included later.
Global Crypto Real Estate is Already Here
Interestingly, other countries are already ahead of the game when it comes to using crypto in real estate. In Japan, you can even buy property using XRP in some cities. Dubai is also using XRP’s blockchain for real estate transactions. The US is catching up, but this is a significant step forward.
