U.S. Approves Crypto for Mortgages: Discover How It Impacts Homebuyers

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The U.S. Federal Housing Finance Agency (FHFA) has taken a significant step by approving the use of cryptocurrencies as collateral in mortgage applications. This move marks a notable advancement in integrating digital currencies into the established financial landscape. For instance, with XRP currently valued at $2.19, purchasing an average American home priced at $420,000 would require approximately 192,000 XRP. Individuals planning a 20% down payment would need only 38,400 XRP.

FHFA’s Formal Recognition of Cryptocurrency

This new regulation permits the declaration of cryptocurrency holdings alongside traditional assets like stocks, bonds, and cash. By providing documented wallet balances with reliable exchange rates, applicants can potentially enhance their creditworthiness. To manage volatility, the FHFA intends to request up-to-date price statements, thereby reducing risks for both lenders and borrowers.

According to calculations based on current data, the figures present an interesting perspective for XRP holders. Those aiming to cover the entire purchase price would require 192,000 XRP, while a holding of 38,400 XRP could suffice for the standard 20% down payment in many regions. It's important to note that due to price fluctuations, the required amount of XRP can vary, even intraday, highlighting the need for real-time value documentation during the application process.

Understanding the Cost of Property Acquisition with XRP

The FHFA's decision accelerates the ongoing integration of cryptocurrency into the real estate sector internationally. The Open House Group in Japan already accepts XRP, Bitcoin, Ethereum, Solana, and Dogecoin for property transactions in Tokyo and Osaka. These payments are executed swiftly, transferring funds from mobile wallets to sellers in seconds, bypassing substantial bank fees and international transfer delays.

A parallel trend is emerging in Dubai, where property projects are tokenizing title rights on the XRP Ledger, shifting the buying and selling process to the blockchain. Tokenization provides an immutable record of ownership, enabling international investors to engage in direct trading without intermediaries. Experts anticipate that as these global examples converge, the FHFA regulation will solidify cryptocurrencies as a credible option for real estate financing.

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