Published: November 24th, 2025 • Last Updated: November 24th, 2025
Author: Ross Taylor on AskRoss.ca

Buying a Home with Bitcoin or Ethereum in Canada Is Possible, But It’s Far From Simple

Cryptocurrency is no longer just the talk on crypto Reddit threads or Twitter. It is being discussed in real estate offices, at kitchen tables, and even during mortgage pre-approvals.

But here is the honest truth. While more Canadians are investing in crypto than ever before, using it to buy a home is still a complicated and uncommon path.

That said, the conversation is changing.

I am seeing more clients who view their crypto holdings as part of their financial strategy. Some even expect to use those funds toward their first home.

But if you are thinking of using your Bitcoin or Ethereum gains to buy a property in Canada, you need to know what lenders are really looking for.

For more information on this topic, check out my article at Canadian Mortgage Trends.

Jump to a specific section in this article ↓↓

• Are more Canadians using crypto to buy homes?
• What does the mortgage process look like when using crypto?
• A real-world example of crypto funding gone sideways
• Are Canadian banks more open to crypto now?
• What documentation do lenders want to see for a crypto mortgage?
• Is crypto used for money laundering in Canada?
• Final thoughts for crypto investors planning to buy a home
• List of all FAQs: Can I use cryptocurrency to buy a house in Canada?

Are more Canadians using crypto to buy homes?

More people are holding crypto, but very few are using it directly to purchase homes. The gap between ownership and utility still exists, especially when it comes to real estate transactions.

How does crypto fit into Canadian financial planning?

Many of the younger clients I work with treat crypto much like their parents treated mutual funds. They dollar-cost-average into it monthly, hold it long term, and consider it a legitimate part of their wealth.

But when it comes time to actually use that crypto to buy a home, they quickly discover that converting it into a mortgage-friendly format is not so simple.

Crypto might be part of the story, but it rarely shows up in the actual down payment unless the client takes deliberate steps to prepare.

Even then, it is often more successful with alternative lenders than the big banks. Preparation and the right lender make all the difference.

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What does the mortgage process look like when using crypto?

In theory, using cryptocurrency to support a mortgage application is possible. In practice, it involves a lot more paperwork and a higher level of scrutiny from lenders. This can delay your approval and increase the complexity of your deal.

Lenders want full transparency

Canadian lenders care deeply about where your money comes from. Any funds used for a down payment must have a clear and verifiable source.

Crypto complicates this because wallets and exchanges are not always transparent or standardized.

The biggest challenge is providing a clean audit trail. That means showing when and where the crypto was bought, how it was stored, when it was sold, and how the proceeds landed in your bank account.

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A real-world example of crypto funding gone sideways

One of my clients was approved for a $1.9 million mortgage with a major Canadian bank. His down payment was coming from multiple crypto wallets, all fully legitimate.

But just one week before closing, the bank backed out. They could not verify the full transaction history and did not want to take the risk.

Even though the funds were clean, the documentation was complex, and no one wanted to sign off.

We had to move quickly. We secured funding with a reputable private lender who understood the crypto profile and closed the deal in under a week.

It worked out in the end, but it was a close call and a strong reminder of the challenges crypto can introduce.

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Are Canadian banks more open to crypto now?

Yes, some are. As long as you have sold your crypto for cash and are holding it in your bank account for 3-6 months untouched.

But they are still cautious and very documentation-focused. Their primary concern is compliance with anti-money laundering laws.

While some lenders are slowly adapting, most still view crypto as risky. This means more paperwork, more explanation, and more time spent verifying the source of funds.

Regulated platforms make a big difference

If your crypto is held with a regulated Canadian platform like Coinbase or Wealthsimple, and you can produce clear account statements and proof of ownership, lenders are far more open to the conversation. These platforms make it easier for banks to confirm the legitimacy of your funds.

Using a platform with proper oversight can mean the difference between a “yes” and a “no” from your bank. It simplifies the process and shows lenders you’re serious.

Cold wallets and offshore exchanges raise red flags

When funds come from cold wallets or unregulated offshore exchanges, most banks will walk away. These sources are difficult to track and do not produce the kind of formal statements that underwriters need to sign off on a mortgage.

If your crypto is sitting in a hardware wallet or a foreign exchange, expect extra resistance. The more difficult it is to trace, the less likely you are to get approved.

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What documentation do lenders want to see for a crypto mortgage?

Every lender is different, but here is what we commonly need to provide when crypto is involved in a mortgage transaction:

• Three to six months of crypto account statements
• Confirmation of account ownership
• Proof that crypto has been sold
• Evidence that proceeds have been deposited into a Canadian bank account
• A spreadsheet showing each deposit and its corresponding crypto sale
• A clear explanation of how the crypto was originally acquired

Many alternative lenders, such as Strive or MCAP, are more open to reviewing crypto files when the documentation is clean. Some will even offer formal guidance on what is required.

If you’re planning to use crypto, gather your records early. The more detailed and organized your file, the smoother your process will be.

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Is crypto used for money laundering in Canada?

Unfortunately, yes. And this is part of why lenders are so cautious. Stories about crypto being used for illegal activity make even legitimate funds harder to work with.

A recent case involving Canadian fugitive Ryan Wedding alleged the use of stablecoins like Tether to launder drug money through crypto exchanges. None of the allegations has been proven in court, but stories like this impact the way lenders view crypto.

Even if your crypto is fully legitimate, the scrutiny will still be there.

Lenders do not assume you are doing anything illegal. But they are required by law to verify that you are not. That is why the burden of proof is so high when crypto is involved.

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Final thoughts for crypto investors planning to buy a home

Crypto is becoming a legitimate part of wealth building for many Canadians. But it is not yet fully integrated into the mortgage world.

Lenders are warming up to it, especially when funds are held on regulated platforms and the paper trail is clean.

If you plan to use crypto toward your home purchase, the key is preparation.

Sell the crypto early, move the proceeds into a Canadian bank account, and work with a mortgage professional who knows how to present the file to the right lender.

Let us know if you are planning to use crypto for your next purchase. We are happy to help you structure a solution that works for lenders and gets your deal across the finish line.

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List of all FAQs: Can I use cryptocurrency to buy a house in Canada?

Can I use Bitcoin or Ethereum for my down payment in Canada?

• Yes, but not in its crypto form. You must sell your crypto, transfer the funds into a Canadian bank account, and provide detailed documentation of the entire process.

How long do the funds need to sit in my account before I can use them?

• There is no fixed rule across lenders, but most require the funds to season in your account for 3-6 months.
• You must clearly show that the crypto was sold, and the proceeds can be verified.

Can I use funds from a personal or cold wallet?

• Some lenders will consider it, but only if you can prove ownership and provide a full transaction history.
• Many A-lenders will not accept cold wallet documentation due to its lack of institutional reporting.

Do all lenders treat crypto the same way?

• No. Some A-lenders may consider crypto-based down payments on a case-by-case basis.
• Several monolines, such as MCAP, CMLS, RFA, and Strive are more flexible, especially when proper documentation is provided.

Can I use crypto as collateral instead of selling it?

• This is extremely rare in Canada. Most lenders want liquid cash, not volatile digital assets.
• In nearly all cases, you will need to convert your crypto to Canadian dollars before it can be used in a mortgage transaction.

Is crypto accepted by major Canadian banks for down payments?

• Some are cautiously open to it, especially when the funds are held on regulated Canadian platforms with transparent records.

What kind of paperwork do I need if using crypto to buy a home?

• You’ll need 3-6 months of statements, proof of sale, bank deposit records, ownership verification, and a clean transaction history.

Why is crypto considered high risk by mortgage lenders?

• Its anonymous nature and use in money laundering make it a red flag. Lenders are required to ensure anti-money laundering compliance.

What’s the best way to prepare my crypto for use in a mortgage?

• Sell early, deposit funds in a Canadian account, and organize all documentation before applying for a mortgage.

Are private lenders more accepting of crypto?

• Yes. Private and alternative lenders are often more open to crypto-based transactions, especially when documentation is strong and transparent.

What documentation do lenders want to see for a crypto mortgage?

• Lenders want to see 3-6 months of statements, account ownership, proof of sale, deposit records, and a clear audit trail.

Do cold wallets and offshore exchanges affect mortgage approval?

• Yes, most banks reject crypto funds from these sources due to a lack of verifiable documentation.

Can crypto be used as a down payment for a mortgage?

• Yes, but only if it’s sold in advance, transferred into a Canadian bank account, and properly documented.

Can I get a mortgage with crypto through alternative lenders?

• Yes, many alternative lenders are more flexible and experienced with crypto funding when the documentation is clean.

Is crypto used for money laundering in Canada?

• Yes, there have been high-profile cases, which is why lenders require rigorous proof of legitimacy for crypto funds.

How do I prepare to use crypto to buy a home?

• Sell the crypto early, deposit the proceeds in a Canadian bank, gather documentation, and work with a knowledgeable mortgage broker.

What crypto platforms do lenders prefer?

• Regulated Canadian platforms like Wealthsimple are preferred due to better transparency and ease of verification.

Can I use my crypto profits for a home purchase without selling it?

• No, you must convert your crypto to Canadian dollars and deposit it in a bank account to meet lender requirements.

Is it risky to use crypto for a home down payment?

• Yes, due to market volatility and documentation hurdles, but it can be done with the right preparation.

How long before buying should I convert my crypto?

• Ideally, several months before applying for a mortgage to establish a clear transaction trail and allow time for deposits to season.

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