This is a very young dog. I think many of the Owners in this forum will tell you not to put a potty pad in the crate with them. Basenji's clean themselves all the time and if their bedding is wet or they are unhappy they will scream.
I can tell you when we brought Roo home, his crate was put in the Master Bathroom that is connected to our bedroom. Also we put a metal baby gate across the door. Since our bathroom floor is ceramic we did not lock Roo in his crate all the time. I made sure we walked Roo every 3 to 4 hours. Roo would wake up in his crate and give us the Basenji Yawn type noise to let us know he needed to go out. As soon as we hear that noise we would get him out right away. Also we know that after 10-15 mins of play time we need to walk him.
You mentioned you have no fenced in yard. We do not have a fenced in yard either. We also have other animals such as Deer, Raccoons, Coyotes, Skunks, Geese, Fox, and Ground Hogs that are running around. We even have a couple of neighbors who for some reason do not adequately contain their dogs and sometimes they get out and run the neighborhood. Even so, we bought a very small Premier brand Martingale collar at Pet Smart and were able to take out Roo even at 8 weeks of age in the yard to go potty. I know you are worried about your dogs immunity being strong enough before you take him outside, but I would encourage you to check with your Vet in regard to this. Keep in mind that Roo was 4 1/2 lbs when we got him and was fine going outside.
Roo and now a little over a year old and I do not remember house breaking him being a big chore. Basenji's are very smart and catch on very quickly. I am sure opinions will vary here, but I do not think its a good idea to teach any dog to go in their crate even if you have space for a potty pad. Sure you will lose a little sleep having to walk him/her every 3 to 4 hours but it will pay off big time in the long run. As your dog gets older they will start sleeping longer without issue. The trick is to get them out as soon as they get up.
Also I think you said your dog is tearing up the bedding. Your Basenji is going to be teething for quite some time. Make sure he has plenty of toys he can chew on. If you live in the states and have a big lots store near you, you sometimes can find AKC toys there. Miranda and I are very picky about the toys we get for our dogs because both many toys sold can be chewed through and we do not want them swallowing parts. So no matter what toys you buy, keep an eye on them and pick them up when they are getting worn or you notice your Basenji has torn them open. Rope toys are a very good choice as well as Kong toys. You can also go to the butcher and ask for Beef Marrow Bones which are very cheap and will give your puppy something good to chew one. Keep and eye on the puppy when giving them this because you do not want them to over do it with bones and make their gum's bleed. Roo likes to Defuzz his stuffed animals so we keep a close eye and always have a new one in the closet to replace it. Miranda has also sewn many back together as needed. Sooner or later they get too far gone to repair so they need to be replaced.
To help you get your dog comfortable in his crate, you can make a game of it with him and hide a treat every time he goes in. We did this directly after we took him out and before bedtime. Plain Cheerios are good treats, cheap, and great to train with. You can always use an old towel in his crate or even go to good will and buy some baby comforters instead of an expensive dog bed. In our area, Walgreen's has small fleece blankets that are very cheap and our dogs love them.
Also a wind up alarm clock put next to his kennel/crate will help simulate a heartbeat and help the dog settle down to sleep. We also found one of those at Walgreen's but they are getting harder to find. Remember you have a young puppy that has been taken away from his pack and his mother. All the security has been ripped out from him and he is adjusting to find a comfort zone.
Hopefully, some of these tips will help.
Jason