Fed orders Fannie Mae and Freddie Mac to recognize crypto as an asset class for borrowers—potentially benefiting sluggish sales for our homebuilder clients as well as our multi-family developers as borrowers. SEC also updates its guidance to boost corporate financing. On June 25th, the director of the Federal Housing Finance Agency (FHFA), which oversees Fannie and Freddie, ordered, effective immediately, to consider crypto as an asset for reserves when they assess risks in single-family home loans. Importantly, the order specified that risk assessments should not require cryptocurrency assets to be converted to U.S. dollars. The move aligns U.S. housing finance with the growing adoption of digital assets that also encourage innovation within corporate finance.

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