Australia Launches First Bitcoin-Backed Mortgage Amid Housing Crisis
- Block Earner has introduced Australia’s first Bitcoin-backed home loan, allowing crypto holders to access property without selling assets.
- The product was enabled by a Federal Court ruling that exempted Block Earner from needing a financial services license for its crypto lending products.
- Borrowers can secure loans of up to 50% of a property’s value using Bitcoin as collateral, with additional financing through standard mortgages.
- In the US, a new bill (H.R.4374) proposes recognizing cryptocurrency holdings in mortgage evaluations, potentially expanding access for digital asset holders.
- Australia’s home prices average nearly ten times the typical household income, while US median home prices exceed $420,000—about seven times the median income.
Both Australia and the US are exploring innovative solutions to address their housing crises through crypto-backed financing options. The introduction of these mortgage products aims to provide new pathways for homeownership amid soaring property costs.
With Bitcoin up nearly 87% over the past year, these developments could reshape how individuals approach home financing in both regions amidst ongoing affordability challenges. (Source)
