In a social media post on Wednesday, June 25, 2025, Federal Housing Finance Agency (FHFA) Director William Pulte ordered Fannie Mae and Freddie Mac to develop guidelines for considering cryptocurrency holdings as assets in mortgage originations. The FHFA oversees Fannie Mae and Freddie Mac, which purchase and securitize a significant portion of the nation’s mortgage loans. This directive means that, for the first time, borrowers may be able to use their crypto investments to strengthen their financial profiles when applying for home loans. Director Pulte said this move was part of President Trump’s larger vision of making the U.S. the “crypto capital of the world.”

The proposal represents a significant step in the possible integration of digital assets into qualifications for homeownership. When mortgage lenders assess the financial stability of a mortgage applicant and his or her ability to repay the loan, lenders are required to consider the amount the borrower maintains in liquid assets/reserves available to the borrower after the loan closes. Current Fannie Mae and Freddie Mac mortgage underwriting guidelines view acceptable sources of reserves to include readily available liquid funds in checking and savings accounts, investments in stocks, bonds, mutual funds, certificates of deposit, money market funds, and trust accounts, the amount vested in a retirement savings account, and the cash value of a vested life insurance policy. Funds or stock options that have not vested or cannot be withdrawn except in narrow circumstances and the proceeds of personal unsecured loans are not acceptable assets under the mortgage origination guidelines. The Director’s order acknowledges that only the U.S. dollars received from redemption of cryptocurrency would be acceptable assets as reserves today.

Fannie Mae and Freddie Mac must now develop a plan to consider cryptocurrency without liquidation as an asset for reserves in connection with single-family mortgage loans. According to Director Pulte, that plan must include risk mitigants based on Fannie Mae’s and Freddie Mac’s assessment of the risks related to the non-liquid asset, such as adjustments for market volatility and capping the percentage of a borrower’s assets that may be comprised by cryptocurrency. Any crypto assets considered also must be evidenced and stored on a U.S. regulated centralized exchange and be subject to applicable laws. Fannie Mae and Freddie Mac might consider other issues related to cryptocurrencies, which could include the uncertain and evolving regulatory landscape for cryptocurrencies, the complexities of verifying the value and ownership of digital assets, the risk of crypto platform failures, and the potential increase in fees associated with the purchase of loans relying on cryptocurrency assets as part of their assessments of the feasibility and risk tolerance of counting cryptocurrency as an asset reserve. As Fannie Mae and Freddie Mac move forward with their assessments of risk and proposals, the effectiveness and impact of Director Pulte’s order may depend on how well a balance can be maintained between flexibility and risk management. This approach will be crucial to ensuring that the inclusion of cryptocurrency as an asset in mortgage origination guidelines supports sustainable homeownership while safeguarding the broader financial system.*

*Mr. Wright is not admitted in the District of Columbia. He is practicing under the supervision of firm principals.