Better Mortgage and Coinbase Launch Bitcoin-Backed Mortgages with Reusable Collateral
Better Mortgage and Coinbase introduce generally available home loans backed by bitcoin that the lender may reuse as collateral.
Better Mortgage and Coinbase have made bitcoin-backed home loans generally available. The structure treats pledged bitcoin as reusable collateral in a conventional mortgage product.
Collateral mechanics
Better may reuse the pledged bitcoin while committing to return an equivalent amount. Borrowers cannot recover their coins until the primary mortgage is repaid or refinanced.
Open questions
No figures on loan volumes, uptake, or reserve reconciliation have been disclosed. Exact legal and custody terms for re-use remain unspecified.