Crypto Collateral Brings New Twist to Home Loans

A big step in U. S. housing finance is happening now: a major mortgage agency is letting people use Bitcoin and other digital coins as security for buying a house. The deal works with two loans: the regular mortgage and an extra crypto‑backed loan, both managed by a partner company. The digital assets stay locked until the borrower pays back the second loan, so they can keep their crypto holdings while still getting a down‑payment. This move shows that the government‑backed mortgage giant is starting to accept cryptocurrencies inside normal loan rules. Although the offering is still small and adds a layer of risk because crypto prices can swing wildly, it signals that institutional lenders are slowly welcoming digital money into everyday life. Because the product is new and limited, it may not immediately boost the agency’s share price. Still, the announcement could be a sign that the company is trying to stay ahead in a changing market.The agency, founded in 1938 and run under federal control, has a market value of about $5. 6 billion. Its shares have fallen sharply this year, losing more than a third of their value since the start of 2026. The decline reflects worries about housing policy and the company’s government oversight. In recent results, the agency earned $3. 5 billion in the last quarter of 2025, down from $4. 1 billion a year earlier. Year‑long earnings fell 15 % to $14. 4 billion, even though revenue stayed roughly the same at $29 billion. The drop came from a larger loss provision and fewer gains in asset values. Expenses were trimmed, especially administrative costs, helping the firm keep a solid net worth that grew to $109 billion by year‑end 2025. Financial analysts give mixed views. Some see a “Strong Buy, ” others a “Hold” or even a “Sell. ” The average price target is $13. 30, implying the stock could rise about 84 % from today’s level, while the highest target suggests a jump of nearly 177 %.