Canadian lender APX Lending said Wednesday it plans to offer bitcoin-backed mortgages in early 2027, giving homebuyers the option to keep their BTC rather than sell it to buy property. The company said customers could borrow against their bitcoin for a down payment or the full purchase price, but it has yet to announce interest rates or loan terms.
The Toronto-based company opened a waitlist on Wednesday, saying it expects to begin offering mortgages in the first quarter of 2027. APX, which already provides crypto-backed loans, claims it will be Canada’s first regulated bitcoin-backed mortgage provider.
Last month, APX Lending announced the rollout of five-year bitcoin and ethereum-backed lines of credit. The new move would bring cryptocurrency lending into Canada’s residential mortgage market, where outstanding debt reached $1.75 trillion in June, according to the Canada Mortgage and Housing Corporation.
Similar products have gained some traction in the United States. Miami-based lender Milo said in February it had originated more than $100 million in crypto-backed mortgages, including a single $12 million loan. Milo offers mortgages backed by bitcoin or ether , with repayment terms extending to 30 years.
APX founder and CEO Andrei Poliakov told CoinDesk he estimates the Canadian market for bitcoin-backed real estate financing at $44 million to $73 million. He said 15.8% of the company's existing crypto-backed loan volume is already tied to real estate.
For a home costing about $475,000, Poliakov said a buyer could borrow $95,000 for a 20% down payment by pledging $190,000 in bitcoin. Buyers seeking to finance the entire purchase without a cash down payment would need to pledge about $475,000 in bitcoin, with the property also serving as collateral.
APX has not disclosed its mortgage interest rates, repayment periods, loan-to-value limits or the conditions under which borrowers could face margin calls or collateral liquidation.
Its existing crypto-backed loans carry annual rates of 9.99% to 11.49%, with borrowing estimates based on a 60% loan-to-value ratio. Those terms do not necessarily apply to the planned mortgages. Poliakov said using the property as additional collateral could lower borrowing costs, but declined to provide an expected mortgage rate.
Bitcoin’s volatility presents another risk. A sharp price decline could leave borrowers needing to provide more collateral or facing the sale of pledged bitcoin, depending on the mortgage terms.
Poliakov said a 40% drop in bitcoin's price would push a standalone loan starting at 50% loan-to-value to about 83%. He said a mortgage secured by both bitcoin and the property would be assessed differently.
APX said it uses BitGo to custody customers’ cryptocurrency and does not lend out their collateral. Its existing lending system includes automated liquidation controls, which partially sell bitcoin when loan-to-value reaches 90%, reducing it to 85%. Poliakov said the mortgage program would have separate collateral and default provisions, including any notice periods and opportunities to remedy a shortfall.
“Selling bitcoin collateral and enforcing a mortgage against a home are distinct actions,” Poliakov said. Whether a collateral shortfall could put the home at risk would depend on the loan agreement, he added.
“Canadians shouldn't have to choose between owning Bitcoin and owning a home,” APX founder and CEO Andrei Poliakov said.
For now, prospective borrowers can join the waitlist. The company has not announced when it will publish the mortgage terms. Poliakov said it would disclose the terms ahead of the planned launch.