Coinbase Rolls Out Bitcoin Mortgages with Gov Support, Faces $100k Coverage Dispute
Coinbase will enable U.S. homebuyers to use Bitcoin as down payment through its new mortgage program with Better Home & Finance, backed by U.S. government support. A dispute over a $100k loss under Coinbase One’s advertised $1M protection and $2.7B in 2025 crypto thefts raises concerns about coverage limits.
1. Bitcoin-Backed Mortgage Program
Coinbase has partnered with Better Home & Finance to launch a cryptocurrency-backed mortgage program that allows U.S. buyers to use Bitcoin as a down payment. The initiative, supported by U.S. government approval, aims to integrate digital assets into home financing but carries regulatory and market adoption challenges.
2. Coinbase One Coverage Dispute
Under Coinbase One’s premium subscription plan, a user recently lost $100,000 in Bitcoin despite advertised protection up to $1 million, highlighting strict eligibility criteria. The resulting arbitration dispute underscores potential gaps between headline guarantees and the platform’s responsibility for compromised account activity.
3. Industry Theft Trends and Implications
Crypto thefts reached $2.7 billion in 2025, a 22% rise from the prior year, emphasizing growing security risks in digital asset markets. While some platforms are introducing insurance-linked products and transaction safeguards, coverage often includes exclusions, potentially limiting investor recourse after theft.