President Trump is advancing two major policy proposals that could fundamentally reshape the relationship between the U.S. government and digital assets. The White House is circulating a proposal to expand the government's existing Bitcoin reserve through open-market purchases, while the FHFA has separately directed Fannie Mae and Freddie Mac to "prepare their businesses to count cryptocurrency as an asset for a mortgage."
The Bitcoin reserve expansion proposal, which would require congressional authorization for new purchases, has been discussed with senior Republican leaders on the banking and finance committees. The administration's current Bitcoin holdings—seized through asset forfeitures—total approximately 200,000 BTC, worth roughly $15.6 billion at current prices.
FHFA Mortgage Directive
FHFA Director William Pulte signed a directive requiring both Fannie Mae and Freddie Mac to update their automated underwriting systems to count Bitcoin and other approved cryptocurrencies as financial assets when calculating mortgage applicants' net worth. "The housing system needs a massive upgrade," Pulte said.
"Millions of Americans hold significant wealth in digital assets, and it makes no sense to exclude that wealth from the mortgage qualification process," the Director added in a statement accompanying the directive.
Market Reaction
Bitcoin rallied modestly on the combined headlines, trading above $78,000 for most of Friday's session. Mortgage-fintech stocks including loanDepot, UWM Holdings, and Rocket Companies saw elevated trading volume as investors tried to assess the business implications.
Critics argue the policy risks creating new forms of systemic risk if crypto-backed mortgages proliferate while digital asset prices remain highly volatile. "Allowing a homebuyer to borrow against Bitcoin at $78,000 is fine until Bitcoin is at $30,000 and the house is underwater," warned one senior banking regulator.