FHFA’s Crypto Mortgage Plan Draws Senate Democrats’ Scrutiny

Key Democrats in the US Senate are pressing the FHFA on its plan to allow cryptocurrency as a factor in mortgage approvals.

Senators Jeff Merkley, Elizabeth Warren, Bernie Sanders, Chris Van Hollen, and Mazie Hirono sent a letter to FHFA Director William Pulte Friday, demanding justification for his order requiring Fannie Mae and Freddie Mac to propose how crypto holdings could influence mortgage risk assessments—without selling the assets.

The lawmakers want a response by August 7, citing concerns over housing market stability. Fannie and Freddie have been under FHFA oversight since the 2008 mortgage crisis.