In Australia, home prices continue to exceed incomes. To combat this, one company offers a Bitcoin-backed loan, giving crypto owners a way to get into the real estate market without having to give up their cryptocurrency.
Block Earner announced the launch of its first Bitcoin-backed loan on Wednesday after fighting in court with regulators over two years. The product was enabled by an April Federal Court ruling Block Earner’s cryptocurrency lending products are not eligible as “financial products” Corporations Act
This decision exempted the company from requiring a license to provide Bitcoins as collateral for home loans.
Fireblocks, the custody platform, secures collateral tokens of borrowers through this product. Bitcoin can be used as collateral to get a loan up to 50 percent of the value of the home. A standard mortgage is also included.
Opening the door is not enough new opportunities for Bitcoin holdersThe new model is based upon a creditworthiness assessment that goes beyond traditional approval methods, such as salary, cash, and superannuation.
Related: Bitcoin loans are back, rewriting the book Celsius burned
Bitcoin-backed Loan Development in the US
Australia isn’t the only place that has experimented with Bitcoins and mortgages backed by cryptography. The US is also moving institutions to allow crypto-backed mortgages.
William Pulte, Director of the Federal Housing Finance Agency’s (FHFA), ordered Fannie Mae to investigate ways in which crypto assets held on centralized exchanges regulated by government agencies could be used as reserves to help underwrite mortgages.
In a written message, he instructed both Government-sponsored Enterprises (GSEs). consider crypto as a reserve asset in mortgage risk assessments.
JUST IN: 🚨 A new bill (H.R.4374) in the U.S. Congress would require lenders to include #crypto Holdings in the evaluation of mortgage credit.
After the bill is passed, all lenders must recognize funds on cryptocurrency platforms. 👀 pic.twitter.com/dLK8leLqPz
— Block Earner (@blockearner) July 17, 2025
This Monday is the day when a new bill The US House of Representatives introduced a bill to force mortgage agencies to recognize cryptocurrency held on regulated exchanges in borrowers’ financial profiles.
The bill, if passed, would permit crypto assets to be counted towards mortgage eligibility, without the need to convert them to dollars. This will increase access to home loan for holders of digital assets.
Australia and the US are facing a housing crisis that is getting worse
Australia and the United States are two of the countries that face a housing crises. They have led developments in home loans backed by cryptography.
Australia’s housing market is notorious for being one of most unaffordable in the world. The average home price in Australia is nearly 10 times that of the typical Australian household. income. Sydney is second to Hong Kong in the cost of homes, with houses at nearly 14 times median income.
The median price of a home in the US reached over $420,000 in 2024–2025, roughly seven times the median household income. US homelessness has reached record highs in recent times.
According to a report from the Annual Homelessness Assessment Report (AHAR) from the US Department of Housing and Urban Development, there were over 653,000 unhoused people recorded The highest ever recorded number of deaths in the US in one night was in January 20, 2023.
But while soaring home prices have made homeownership increasingly out of reach for many citizens of both countries, prices have declined relative to Bitcoin — the cryptocurrency is up nearly 87% over the past twelve months.
Magazine: Hall of Flame: NBA star Tristan Thompson misses $32B in Bitcoin by taking $82M contract in cash
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Source: cointelegraph.com
