Crypto Mortgage: Buy a House with Crypto & NFTs!

If you haven’t yet heard of crypto mortgage loans, then here’s everything you need to know about the crypto housing finance sector!

The growth of the DeFi crypto market and fintech applications backed by blockchain technology is supporting the real estate business.

Since NFTs are today considered valuable assets, you can even get a crypto NFT loan mortgage deal to buy properties!

So, let’s learn more about Crypto Mortgage, how it works, and if you should get one! Also, do check out the best crypto mortgage providers list!

What is Crypto Mortgage?

The act of mortgaging includes providing collateral against which you can obtain capital. Similarly, a crypto mortgage is a home loan you can get to purchase real estate property by accepting crypto assets.

crypto mortgage

In loose terms, it’s similar to crypto staking offered by numerous crypto exchange platforms worldwide. However, the key difference here is that a virtual asset mortgage is mainly obtained from those who accept crypto as collateral for financing the home loan.

VDA mortgage services allow people to acquire loans for real estate purchases without trading their crypto assets. Despite the crypto volatility, holders of their virtual digital assets can use it to acquire pieces (s) of land, shops, etc.

How does Crypto Mortgage Work?

Compared with a typical mortgage application, the required proof of ownership of assets is shortened in a crypto mortgage. Instead of producing salary slips, bank statements, and proof of income, applicants only need to present their crypto assets ownership.

Depending on the ownership of crypto token holdings, the applicant can become eligible for obtaining digital mortgage loan deals.

crypto mortgage

The crypto market has made acquiring property easier and quicker for owners possessing digital assets or virtual wealth. It is possible to obtain up to 100% collateral deals on your crypto holdings, but depending on the agency and regional laws, it will vary.

For instance, in the US region, crypto holders can get between $5 million to $20 million in crypto mortgage deals. What’s better is that the monthly payments can be made using both or either with fiat currency or crypto tokens!

Can You Get a Crypto NFT Loan?

The defined parameters to obtain a crypto NFT loan vary between lenders. Most of them may not as of yet offer house mortgage loans against NFTs, but it’s possible with platforms like, among others.

Using such platforms, most crypto holders have also engaged in loan-to-own practices, which should be cautionary tales for borrowers. Let’s discuss such other disadvantages after learning about its positives of it first.

crypto mortgage

Advantages of Crypto Mortgage & House Loan!

Holding crypto assets past the Crypto Winter period can still be rewarding for numerous crypto investors globally. From saving on taxes to retaining cheaply purchased crypto assets that shoot up years later in value, read about them all here!

1. Long Term Ownership

The foremost reason why NFT or crypto holders could engage in loaning their VDA is to prevent selling them. Most likely, such holders of Crypto NFTs or tokens have a bullish outlook on ownership, considering that they would like to retain the assets longer when they are worth greater than quadruple of their initial investment.

crypto mortgage

2. Tax Collateral Deductibles

Major VDA mortgage lenders opt to participate on such platforms because it can offer them tax deductibles. Although certain nations could levy severe taxes on crypto ownership or trading activities, listing it as collateral could be beneficial, especially when you own millions in crypto assets.

3. Easy Documentation

Most platforms offering crypto lending or borrowing services do so without asking for a long list of documentation. Since platforms can link crypto wallets seamlessly, and NFT tokens or crypto coins carry identifiers, it’s a paperless process to lend or borrow them. Hence, anyone who aims to prevent affecting their banking financial history and credit score can engage in crypto mortgage practices.

Disadvantages of Crypto Mortgage & House Loan!

Providing or obtaining a crypto NFT loan surely is beneficial, but it does carry significant shortcomings on the alternative side. The critical risks of mortgaging crypto can be tough to mitigate because they can compound swiftly. Thus, it’s advisable to consider the following factors before indulging in Crypto mortgaging activities.

1. Assets Hypothecation

Your digital assets are pledged on the network when you lend crypto or choose to borrow using a crypto mortgage. It translates that you cannot withdraw them for a definite period or not without paying extra charges.

Such cases can make you lose opportunities where you can obtain better returns on them by trading or staking them. Moreover, you also miss the opportunity to sell them off when the market is dipping greater than it had risen.

crypto mortgage

2. Crypto Volatility

The case of cryptos being volatile has so far been an all-time risk despite the market currently exceeding the $1 trillion mark. In situations where you have locked your crypto to the VDA mortgage network, it’s possible that it may ask you to add more assets to match the lending/borrowing value.

In similar scenarios, the network can also liquidate your crypto assets, wherein you could lose them partially or wholly. The entailing circumstances of such situations can land you in significant financial troubles, even if the network declares bankruptcy.

3. Limited Pledge Support

Another drawback of crypto mortgage activities is that you do not get many options. Most lending networks only support a limited number of crypto assets or essentially the top three ones. Since those top crypto assets are already pricey, it can be difficult to mortgage digital assets that are in small numbers.

Also Read: Crypto News Today!

Who Offers Crypto Mortgage?

After becoming aware of the positives and critical disadvantages of VDA mortgage avenues, let’s learn about the trustworthy names offering them.

crypto mortgage


The platform only offers blockchain mortgage services for real estate purchases within the Texas region. Still, the offerings are pretty attractive and multitudinous. The lender accepts all top cryptos like BTC, ETH, USDC, etc., as collateral for offering up to $5 million in funds.

While the interest rates stand between 5.5% to 7.5% APR, the platform offers to stake the down payments. Such benefits can let the borrowers earn interest on their collateral by partially offsetting their term mortgage payments.

crypto mortgage


It is a licensed firm offering virtual asset mortgage facilities for loans for up to 30 years. Based in Florida, Milo is the first in the US market to provide such prospects and at 3.95% to 5.95% APR. A great reason to consider this firm your prime choice is that it does not demand a down payment!

The borrower can finance 100% of the property value while the firm steadily accepts the top cryptos named ETH, BTC, and a few stablecoins.


The platform allows the listing of NFTs as collateral on which users can apply for loan offers. The borrowers will obtain wETH or DAI liquidity into their wallets straight from the lenders. The listed NFT will be converted into a double-audited escrow contract. Furthermore, with no auto-liquidations, a defaulted crypto NFT loan will let the lender foreclose the loan and receive your NFT.

NFTfi does not charge a fee for its services to either the lender or borrower. However, the lender must pay 5% of the total interest earned on their successful loan(s). Still, it’s worth noting that the platform currently only supports Ethereum-based NFTs.

crypto mortgage


The North Carolina-based lender runs a waitlist to offer up to $3 million along with a 30-year term period option. The annual rate is capped at 6% as the fixed rate with its services available in the eight US states. Offered VDA mortgage services by Figure are licensed, and as of now, it only accepts payments in ETH and BTC tokens.


It is a platform based in Canada that presently only offers VDA mortgage loans that are bitcoin-backed. Before the crypto winter, the platform had already raised $70 million in its Series B funding round, totaling a $540 million valuation.

The platform aims to expand its services from Canada to the US region with clients from 127 countries, 44% of which represent the Latin American region.

Note: None of these mentioned institutions, organizations, firms, or networks are associated or affiliated with NFTsCryptoGuide. We do not endorse any crypto house loan nor promote registering a VDA mortgage deal.

The Takeaway

The finance sector, boosted by the crypto industry, continues to give more to the world and investors. It is expected that the lending platforms offering digital mortgage loans will multiply by eightfold or greater to offer more than just crypto house loan(s).

Still, it remains to be seen whether they will support more cryptocurrencies and tokens of different standards, along with possible cross-chain support. Let’s see!


Can you get a crypto mortgage?

Crypto mortgages are simple to obtain and usually follow the rules of traditional mortgage practices. The only difference is that cryptos become the listed collaterals. Hence, when you initiate a crypto mortgage, the lender will check for your crypto holdings to assess your borrowing limit. Based on eligible standards of crypto ownership, it’s possible to get a crypto mortgage loan.

Can crypto be used as asset for mortgage?

Technically, crypto cannot be directly used as an exchangeable asset against purchasing real estate in any nation. However, your crypto holdings can obtain fiat money to put a down payment on your real estate purchase. Such activities can be labeled as crypto mortgaging. However, not all providers may accept regular repayments in crypto.

What are the benefits of crypto backed mortgages?

The prime benefit of participating in crypto-backed mortgages is that you can earn gains on the investment value of your digital asset without selling it. By listing it as collateral, you can also obtain fiat money against it, which can also earn you certain tax exemptions.

How does a Blockchain mortgage work?

The procedure within a blockchain mortgage entails your data being assessed and approved by automated applications to be stored on the network. Your digital asset access will be locked on the network for a certain period, pending repayments. Thus, all such transactional data will be recorded on the blockchain ledgers and updated automatically in real-time.

Do banks accept crypto as collateral?

No, central bank authorities of various countries do not yet accept crypto as collateral. It also includes numerous private banks across the world. However, certain banks that may not hold or store VDAs might still offer to store third parties’ collaterals. Otherwise, they may seek third-party custodian collaboration to retain such assets for them.

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