“A bill to require government-sponsored enterprises to consider digital assets in a mortgage loan risk assessment.”
No CRS summary available for this bill.
This section requires the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac), when assessing risk for single-family mortgage loans, to count borrowers' holdings of qualifying digital assets—defined as commercially fungible digital representations of value recorded on cryptographically secured distributed ledgers and held in a qualified custodial arrangement (i.e., by a U.S.-regulated third-party custodian or multi-party arrangement with a controlling quorum of keys held by such custodians)—toward reserve requirements without converting the assets to U.S. dollars. It further directs both enterprises to (1) apply risk adjustments for the assets' market volatility, liquidity, and concentration in reserves; (2) periodically review and update those adjustments; and (3) submit any new or materially revised assessment methodologies to their boards for approval and then to the Federal Housing Finance Agency Director for review. (Thus, borrowers with properly custodied digital assets, such as certain cryptocurrencies, may use them to help meet reserve thresholds for Fannie Mae- or Freddie Mac-backed mortgages.)