Mortgage lender Better has secured access to up to $500 million in financing through a partnership with crypto venture firm Framework Ventures. The capital will be channeled via the Sky stablecoin ecosystem, a blockchain-based system with origins in MakerDAO. This deal connects traditional mortgage origination with decentralized finance infrastructure, aiming to provide a novel funding source. Better will operate as a designated capital recipient, known as a “Star,” within the ecosystem to scale its home loan operations.
Better has partnered with Framework Ventures to access up to $500 million in financing through the Sky stablecoin ecosystem. The arrangement links traditional home lending with decentralized finance infrastructure, as announced by the companies. Better will function as a designated capital recipient, referred to as a “Star,” while continuing to handle underwriting and loan origination.
The partnership aims to channel real-world mortgage activity into DeFi via stablecoins. This structure could provide an additional funding source outside traditional capital markets, though such integrations remain relatively new. “With this capital injection, we think Better will be able to rapidly scale origination and potentially lower mortgage rates for consumers in the long term,” said Framework Ventures co-founder Vance Spencer.
By linking mortgage lending to a blockchain-based system, the deal introduces tokenization at the loan-funding level. Capital raised through the Sky ecosystem, which uses crypto-native collateral to issue stablecoins, will be directed toward Better’s mortgage originations. This represents a form of real-world asset tokenization, even though the underlying mortgages are not themselves being minted as tokens. “We will be the first conforming mortgage originator to deploy tokenized capital to responsibly support mortgage assets at institutional scale,” said Vishal Garg, Better’s founder and CEO.
The deal aligns with growing institutional engagement between housing finance and digital assets. Pennsylvania-based lender Newrez recently said it plans to consider certain cryptocurrency holdings in mortgage underwriting. Last year, the Federal Housing Finance Agency directed Fannie Mae and Freddie Mac to develop proposals for recognizing digital assets in loan applications. Government-backed conforming mortgages comprise more than $12 trillion in the United States alone, with the 2026 conforming loan limit for a single-family home in most U.S. counties at $832,750 according to Experian.
