The Trump administration has directed leading US mortgage finance firms to recognize cryptocurrency holdings as part of applicants’ wealth when evaluating mortgage eligibility. The order applies to Fannie Mae and Freddie Mac, the two government-backed enterprises responsible for guaranteeing more than half of residential mortgages in the United States. The announcement was made by Bill Pulte, Director of the Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac.
Pulte stated that the policy is intended to reflect the growing role of digital assets in personal wealth accumulation and aligns with President Trump’s objective of positioning the United States as a global leader in the cryptocurrency sector. Under current regulations, applicants holding significant cryptocurrency assets typically do not see those holdings positively reflected in mortgage assessments unless they convert their digital assets into US dollars. The new directive allows Fannie Mae and Freddie Mac to consider certain types of cryptocurrency as part of an applicant’s financial profile, potentially opening the door to homeownership for millions of Americans who have invested in digital currencies.
However, Pulte clarified that only cryptocurrency stored and verifiably documented on US-based, centralized exchanges will be eligible for consideration. The Federal Housing Finance Agency also instructed the agencies to incorporate the well-known volatility of cryptocurrencies into their risk assessments when processing mortgage applications. The move marks a significant step toward mainstream financial recognition for digital assets, providing crypto investors with new pathways to traditional economic opportunities.
Trump administration moves to integrate crypto into mortgage eligibility
At the same time, it introduces an element of caution, as regulators and economists have voiced concerns about the possible implications for the broader housing market. The unpredictable nature of cryptocurrencies could potentially introduce new risks to the mortgage system, which is a critical pillar of the US economy. Financial experts note that while the policy may offer increased access to credit for crypto-wealthy individuals, it remains to be seen how this change will affect Fannie Mae and Freddie Mac’s overall risk exposure.
Any significant shifts in the agencies’ financial stability could, in turn, influence mortgage interest rates for American homebuyers. The policy follows a series of efforts by the Trump administration to integrate cryptocurrency more deeply into the US financial landscape. Industry analysts suggest that, while the directive may boost the credibility of digital assets, it also underscores the need for robust risk management practices as crypto becomes more intertwined with traditional financial sectors. – By CryptoWire News Desk.