With bigger adoption on Bitcoin and cryptocurrency, there will be more corporations, companies and services accept Bitcoin and altcoins. With this bullish trend of adoption, this news is not surprising with me but there is risk if you are a careful person.

Bitcoin is volatile, altcoins are more volatile and in risk management, I'd like to use my bitcoin as collateral for my mortgage and avoid altcoins. Atcoins are dangerous for holding as they can lose 90% or 99% in a bear market and if you use them as collateral of your mortgage, I really can not imagine what kind of nightmare and liquidation they will get at the end.

You make a mortgage to have a better and more comfortable life, not to destroy your life, so make sure don't use altcoins for this purpose.

Maybe he didn't see what's going around on Lending section https://bitcointalk.org/index.php?board=65.0

That's why he made that conclusion and got amazed on that possibilities. These situation is not new and for many years this crypto backed mortgage is running in crypto space.

I also don't know why they like the idea of using their Bitcoin and it make them looks desperate to get quick funds. They might just waste some opportunity to get good profits with their Bitcoin especially if they use it for collateral matters or other unwanted things.

The interest rate is higher than traditional mortgage, so that is another thing to consider before opting for a crypto-backed mortgage. Volatility risk is also another problem and you should read this:
So this means that if as a result of volatility, the value of the crypto you deposited in escrow drops, you would have to deposit more coins, or else the lender may liquidate your coins and claim them. So if you think avoiding liquidation is a reason to do this, you should also look at things from this angle.

Usually the lender give you fiat money or stable coins in exchange of your Bitcoins (or other cryptocurrencies) it takes as collateral. Meaning it will give you back your BTC only if you pay back your loan. So if at the end he asks you more money he gave you initially on top of the agreed interests to give back your full collateral he is a scammer. In the opposite way, if you dare to not want to fully payback the money he lent you initially along with the interets because the collateral that you entrusted to him has become worthless you are also a scammer. You can eventually negotiate to get back a part of the collateral during the repayment period because the value of the collateral has increased or because you have already repaid a large part of the loan, and the borrower can eventually ask you a bigger collateral in exchange of lower interests or a longer repaying length but it doesn't concern the principal paid back.

I wouldn’t touch that. Bitcoin and debt don’t mix well. Bitcoin is a quite volatile and unpredictable and that means either the lender or the debtor will get effed very badly. If I am going to borrow money, I’d rather borrow FIAT because I know it is shit. FIAT will always lose its purchasing power in the long term and that is a good thing for the debtor. Btc on the other hand has always been going up against the dollar. It doesn’t make any sense to borrow btc to buy anything.

Which is why there are so many companies offering this.

Binance lets you take a crypto loan.
There's also a pretty reputable company called Ledn where you can not only take a loan, but also create a savings account.

I have nothing against these companies, but personally I wouldn't do it. Why? You're sending your coins to these people and we all know that it's a bad idea. Have you ever heard of Celsius? If not, read about them.
A loan in bitcoin sounds nice, like fast and easy money without exiting the market, same as with being a lender for 2% interest, but in the end you're risking your life savings along with the full potential that these assets bring to the table.

Another thread Worth to be discussed in the economy board. Because a thread has got to do with bitcoin should not automatically mean it is for suitable for bitcoin discussion board.
The real estate investment can not be overthrown when aware that it values disregards the economy deflation. That basically mean it surges lucratively during and inflation but resists to depreciates when the economy is poor. Instead it is better of keeping a stable value than following the suites of a fallen economy.
Due to financial enhancements following the fiats rates, it important to diversify your source of incomes in other to be beneficial to wherever the economy ratio flows in accordance.
So investing on bitcoin gives a privilege to the alternation of making profits in the sense that when the bitcoin is adhering to lower volatile, you can hold up to your real estate assets but when the real estate is not of good productiveness, your bitcoin can always alternate to diversify your earning.
So if you can own bitcoin and a real estate assets, you can muchly dare the fall of your financial portfolios.