Better.com and Coinbase have launched a Bitcoin-backed mortgage product that explicitly allows reuse of borrowers' BTC collateral, meaning the same Bitcoin can simultaneously secure a mortgage and be deployed elsewhere by the lender. This is a notable product design choice that introduces layered counterparty risk for borrowers whose collateral may not sit idle during the loan term.
Armada's crypto-collateral desk operates under a strict no-rehypothecation policy, which is a direct architectural contrast to the Better-Coinbase model. This product launch offers Armada a concrete competitive differentiation point with family office and institutional clients who prioritize collateral segregation, and the marketing and sales teams should reference it explicitly in pitches and documentation.