In a sign of how quickly the space is evolving overseas, two companies, Better Home and Finance and Coinbase, have launched a product in the US that allows borrowers to pledge bitcoin or USDC as collateral to help fund a home deposit, while still taking out a standard conforming mortgage.

Backed by the Federal National Mortgage Association (Fannie Mae), the structure effectively splits the loan into two parts: a traditional mortgage and a second loan secured against crypto holdings.

It’s a model that hints at what the future of lending could look like, but one that remains largely incompatible with Australia’s current mortgage framework.

Nonetheless, while crypto currently sits outside the mainstream lending…