Sen. Lummis Proposes Bill Allowing Crypto for Mortgages, Targets Younger Investors

U.S. Senator Cynthia Lummis has introduced the '21st Century Mortgage Act,' a legislative push to integrate cryptocurrency into mainstream housing finance. The bill permits borrowers to use digital assets held by qualified custodians as reserves for mortgage applications without forced USD conversion—addressing tax inefficiencies and supporting asset growth.

The move aligns with Federal Housing Finance Agency Director William Pulte's ongoing efforts to incorporate crypto into risk assessments by Fannie Mae and Freddie Mac. Lummis emphasized the bill's importance for younger demographics, noting that 21% of U.S. adults hold crypto—with majority under 45—while only 36.6% of Americans under 35 own homes as of Q1 2025.

This legislative framework represents a strategic adaptation to generational wealth trends, recognizing crypto as a legitimate store of value for mortgage underwriting. The policy shift could reduce barriers to homeownership for crypto-savvy millennials and Gen Z investors while reinforcing digital assets' role in traditional finance.