Senators Sound Alarm on Crypto’s Bold Move into Housing—Who Needs Stability Anyway? 🤪

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Ah, behold the grand spectacle of our esteemed Senate Democrats! A veritable choir of alarmists standing resolutely against a surge that threatens to drag cryptocurrency deeper into the murky waters of the US mortgage system. Our noble Senators, led by the illustrious Elizabeth Warren, Bernie Sanders, and their faithful comrades, are demanding that William Pulte, the Director of the Federal Housing Finance Agency, reconsider his audacious directive. How dare he suggest that unconverted digital assets could play a role in mortgage underwriting decisions? The gall! 💼

On July 25, they sent a letter, brimming with concern like an overripe fruit, cautioning that this daring move could unleash a wave of instability across both the housing and financial realms. Imagine the chaos—a world where crypto is king and traditional assets bow in subservience! 🎩

Concerns Over Risk And Volatility

Yes, indeed! Our daring senators have labeled the notion of incorporating crypto into a borrower’s asset portfolio as a monumental risk. Volatility is their battle cry! Bitcoin, Ethereum, and their mischievous compatriots are notorious for their price fluctuations that would make even the sturdiest stomach churn. What if a borrower taps into their digital coin stash, only to watch its value plummet faster than a lead balloon? Default is but a heartbeat away! 🥴

“After significant studying, and in keeping with President Trump’s vision to make the United States the crypto capital of the world, today I ordered the Great Fannie Mae and Freddie Mac to prepare their businesses to count cryptocurrency as an asset for a mortgage.”

“SO ORDERED”

— Pulte (@pulte) June 25, 2025

“Historical volatility and liquidity issues remain in the crypto market,” their letter soberly states, much like a Victorian matron clutching her pearls. The senators, ever watchful, fear that borrowers might find themselves in a bind when swift liquidation is required. Who wants to be the unfortunate soul in an emergency, clutching their digital wallet with empty hands? 😱

Moreover, let us not ignore the treacherous landscape of scams, hacks, and theft that looms over the realm of digital assets. Unlike good old-fashioned bank savings, these assets lack the protective embrace of traditional finance. A homeowner could lose their life savings to a nefarious hacker and be left with naught but a sob story and a few angry tweets! 🐦💔

Order Calls For Crypto In Mortgage Risk Assessments

On June 25, Director Pulte made the bold proclamation that Fannie Mae and Freddie Mac shall prepare a proposition allowing cryptocurrency to count as reserves in mortgage risk evaluations. And here comes the twist—these precious digital assets need not be converted into cold, hard US dollars! Shocking, I know! 💸

This represents a seismic shift in the mortgage evaluation landscape! Traditionally, borrowers are judged by the mundane aspects of cash and liquid assets, but now—oh joy!—raw, unconverted crypto is poised for its moment in the sun. 🌞

Supporters are rejoicing, none more so than the former Binance overseer, Changpeng “CZ” Zhao, who heralded this move as “great” and claimed BTC now counts as assets for mortgage! It’s like a triumph straight out of a fairy tale! 🥳

But lo! The pushback arises in the midst of a broader debate on crypto adoption in our fine capital. Some propose tighter regulations, while others see this industry maturing, ready for prime time in the grand theater of finance.

As of now, dear reader, this tale is yet unwritten. The rule is merely contemplated, not yet fully cemented in stone. But ah, the drama! The interplay of housing and crypto, a mix not all find palatable, continues to be the talk of the town. Let us sit back and watch this riveting saga unfold! 🍿

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2025-07-30 03:45