Better and Coinbase’s bitcoin-backed mortgages can reuse borrowers’ collateral
60-second summary
Better Mortgage and Coinbase allow bitcoin‑backed mortgages to reuse the pledged crypto as collateral, meaning borrowers cannot retrieve their Bitcoin until the underlying conventional loan is fully repaid or refinanced, effectively locking the asset for the loan’s duration; this structure expands crypto‑linked financing options but also raises liquidity concerns that could dampen borrower demand and influence broader crypto‑mortgage market adoption.
Better Mortgage can reuse the pledged bitcoin, and borrowers cannot recover their crypto until the main conventional mortgage is fully repaid or refinanced.