US mortgage provider Rate has launched a national program with its innovative product RateFi, allowing qualified borrowers to use their verified crypto assets to meet mortgage underwriting criteria without liquidating them. This program operates within the existing non-qualified mortgage framework, accepting crypto assets as reserves and, in some cases, as income sources.
RateFi’s Proprietary Valuation Framework
RateFi uses a proprietary valuation framework that considers market price, liquidity, and asset volatility. While converting crypto assets to cash is required for down payments or closing costs, the program is limited to large market cap cryptocurrencies with high liquidity and major USD-backed stablecoins. Assets must be held in approved custodians or centralized exchanges (CEX); AML and KYC verifications are standard.
Crypto Demand in the American Housing Market
It is noted that more than 10% of Americans own crypto assets, while traditional mortgage programs require liquidity. Housing affordability pressures are increasing demand for crypto-backed financing, especially among younger generations. FHFA Director William J. Pulte has had Fannie Mae and Freddie Mac prepare proposals to evaluate crypto as reserve assets.
The 21st Century Mortgage Act. Source: Senator Cynthia Lummis
Senator Lummis’s 21st Century Mortgage Act
Senator Cynthia Lummis introduced the 21st Century Mortgage Act in July, which legalizes crypto in mortgage reserves. This law could accelerate the integration of large assets like BTC detailed analysis into traditional finance.
BTC Collateralized Products from Competitors Like Nexo and Ledn
While Nexo offers mortgages with over 40 digital assets, Ledn provides Bitcoin (BTC) collateralized products. This competition has the potential to make RateFi a market leader. Nexo’s token (NEXO market data) has experienced volatility recently, while BTC-focused products bring stability.
BTC Technical Analysis: Support and Resistance Levels
BTC is currently at $64,001.68, down -%5.10 in 24h. RSI 31.03 (oversold), downtrend above EMA 20 $70,064. Strong supports:
| Level | Price | Score | Distance |
|---|---|---|---|
| S1 | $62,940 | 72/100 ⭐ | -2.04% |
| S2 | $61,102 | 67/100 ⭐ | -4.90% |
Resistances: R1 $64,323 (+0.12%), R2 $68,187 (+6.13%). BTC futures should be monitored.
Institutional BTC Holders and Market Impact
Recent news shows Turkish Net Holding with 352 BTC ranking 74th, MicroStrategy continuing Saylor’s strategy of BTC accumulation. Bitdeer sold its BTCs. These developments strengthen BTC reserve usage in programs like RateFi.
Source: https://en.coinotag.com/ratefi-is-it-possible-to-get-a-mortgage-with-crypto
