Comment by ike77

I don't think law would prevent a fully collateralized loan on the basis of borrower/lender risks.

AML seems a non issue too, as the loan only moves the question.

KYC remains one big problem but there are many startups providing those services and they are slowly gaining acceptance in courts.

Don't be impressed if a few years (and maybe even months) from now you start to see classical banks trading mortgages onchain.