Peter Schiff Warns: Crypto Collateral Mortgages May Drive Up Homebuying Costs and Increase Default Risk

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2026-03-29 01:31:03

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Gate News reports that on March 29, economist Peter Schiff stated on the X platform that mortgage structures supported by crypto assets could significantly increase the cost of home buying. Borrowers would not only have to pay traditional mortgage interest but also bear the interest on a “second loan” secured by crypto assets, which essentially amounts to 100% financing for the property, increasing leverage levels and potentially raising overall default risk. Previously, it was reported that a certain CEX has launched the first compliant crypto-backed mortgage product, allowing users to use Bitcoin or USDC in their accounts as collateral for the down payment on a home.

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