Practicing charity contributes to the lives of others, while adding meaning to your life. Not long ago, a prosperous relationship with cryptocurrencies and philanthropy began.
The goals of charities are not easy to achieve. According to some studies by NGO facts (an online campaign that highlights important data about non-governmental organizations (NGOs) and non-profit and charitable institutions worldwide), there are currently more than 10 million non-profit organizations recorded around the world. To survive, they must fight to be heard in the battle for the heart and the help of people in need.
New technologies have created a multitude of opportunities to do good. It is estimated that there are just over 1% that opt for the capture of cryptocurrencies and, for example, the Unicef invests in the use of personal computers of ordinary users to collect humanitarian donations through crypto mining.
One of the organization’s foundations, the one located in Australia, launched the project “The Hope Page”, Which aims to mine cryptocurrencies with the help of the processing power of visitors’ computers.
The nonprofit has released a statement on the website detailing that “it will enable Australians to provide help and hope to vulnerable children, simply by opening the page while they are online.”
According to the project’s website, The Hope Page allows visitors to choose how much processing power they want to allocate to the mining process. That way, the longer they stay on the site, the more cryptocurrencies will be extracted.
“Mining is perfectly safe for your computer. If you are concerned about the power of consumption, reduce the amount of processing power you are donating, ”said the Unicef statement.
Any and all cryptocurrencies mined will be converted into fiat currency and donated to Australia’s Unicef, which will help vulnerable children around the world with essential supplies like drinking water, food and vaccines.
To date, more than 1600 visitors have allocated the processing power of their computers to help children who are victims of humanitarian crises. A great idea for other organizations to copy.
In recent years, hundreds of millions of dollars have been raised in cryptocurrencies donated to non-profit organizations. All of this is because of the tax incentive offered to donors who can give directly appreciated assets, instead of converting to fiat currency first.
When you transfer cryptocurrencies to a non-profit organization, you pay no capital gains tax and can write off the full amount of the cryptocurrency donation. If someone sells Bitcoin and donates the money, the donation amount is less and, as a result, the income tax deduction as well.
Accepting donations from cryptocurrencies is both a marketing opportunity and a fundraising tool. Donations create viral content in a way that traditional ways do not. For your information, there are currently around 50 million crypto users worldwide and the number is growing every day.
In addition to Bitcoin and Ethereum, non-profit organizations are using “stablecoins” to minimize volatility. These “stable currencies” are a new class of cryptocurrencies that try to offer price stability. The very nature of major public blockchains, like Bitcoin and Ethereum, is their transparency.
Cryptocurrencies represent the most transparent way to exchange value ever created. Even the FBI and DEA said they want more criminals to use cryptocurrencies because they are easier to track, as anyone can view the entire Bitcoin blockchain back to the first transaction.
Bitcoin donations are becoming increasingly common. Cryptocurrency donors are transferring their support to institutions that offer the ability to directly donate their cryptocurrency.
More and more non-profit organizations are studying the idea of crypto to raise funds. Some companies already assist non-profit organizations in this regard.
In the end, it goes far beyond the advantages of accepting cryptocurrencies as donations. It is noticeable that this creates a cycle between wealth, donations, an increase in the adoption of cryptocurrencies, and then more wealth for its appreciation. The internet has already changed the world when it was created, now it is the cryptocurrencies’ turn to change the payment method.