The total outstanding US mortgage debt has exceeded a staggering $15.8 trillion with no signs of slowing down, according to data sourced from the US Federal Reserve. Could cryptocurrency serve as a hedge?
A chart published by the Economic Research branch of the Federal Reserve Bank of St. Louis shows that the total mortgage debt declined considerably between the years of 2008 and 2013, reflecting years of economic slowdown and home-ownership reluctance. However, this trend reversed in 2014, and ultimately resulted in the amount of debt surpassing 2008 levels.
Household mortgage debt is widely believed to have played a monumental role in the 2007 stock market crash and subsequent recession.