Amid a significant shift toward digital assets in the United States under President Donald Trump’s pro-crypto administration, US Senator Cynthia Lummis (R-WY) has introduced the 21st Century Mortgage Act, a new piece of legislation aimed at modernizing the country’s mortgage system with crypto.
This move follows the recent passage of three major crypto bills in both Congress and the House of Representatives, including the GENIUS Act, which has already been signed into law, indicating a growing acceptance of digital currencies within the financial framework.
Inclusion Of Crypto In Mortgage Eligibility
Lummis’ 21st Century Mortgage Act seeks to require government-sponsored enterprises like Fannie Mae and Freddie Mac to consider digital assets when evaluating eligibility for single-family mortgages.
This initiative aligns with a directive from William Pulte, the Director of the US Federal Housing Finance Agency, who advocated for the inclusion of cryptocurrency as an asset in loan assessments.
According to the Senator’s announcement, the legislation aims to reflect the realities of a digital economy, recognizing that many young Americans are leveraging digital assets as a means of wealth-building.
In her statement, Senator Lummis emphasized the urgency of addressing the “homeownership crisis” facing younger generations:
The American dream of homeownership is not a reality for many young people. This legislation embraces an innovative path to wealth-building, keeping in mind the growing number of young Americans who possess digital assets.
Lummis argued that in a rapidly evolving digital landscape, government agencies must adapt to support a modern and forward-thinking generation rather than stifle innovation.
Young Americans Turn To Digital Assets
The proposed legislation would instruct Fannie Mae (Federal National Mortgage Association) and Freddie Mac (Federal Home Loan Mortgage Corporation) to factor in digital assets, which are recorded on secure, cryptographically-protected ledgers, as part of their mortgage risk assessments.
Notably, the Senator asserted that this new bill would prevent the mandatory conversion of crypto assets into traditional currency, thus respecting the intrinsic value of digital wealth.
This crypto initiative comes at a time when young Americans are experiencing unprecedented troubles in homeownership. According to data from the US Census Bureau shared in Lummis address, homeownership rates for individuals under 35 have plummeted to just 36.6%, marking the lowest levels recorded since 1982.
Concurrently, this age group has reportedly turned to digital assets as a primary strategy for wealth accumulation. The 2025 State of the Crypto Holders Report indicates that 21% of US adults now own cryptocurrency, with 67% of these crypto holders being under the age of 45.
As of this writing, Bitcoin (BTC), the market’s largest cryptocurrency, is trading at $117,800. This is down just over 4% from its record high of $123,000, which was reached on July 14.
Featured image from DALL-E, chart from TradingView.com