The article explains how to accept crypto donations and why it is a very promising and effective venue for fundraising.
Cryptocurrencies have changed the way the financial world used to function. They have become the revolutionary and effective digital currencies that took over the banking systems. Almost every industry is harnessing the potentials of cryptocurrency and making a decentralized payment arena for the companies. Whether it is e-commerce or the medical industry, decentralized payments have been of great use to everyone.
Cryptocurrencies are also contributing to charity. Yes, you can donate cryptocurrency to charity and non-profit organizations. A crypto donation button on a charity website is one of the best way to optimize fundraising. Why? Let’s take a closer look.
Why You Should Receive Donations in Cryptocurrency
Cryptocurrency is the brand-new currency that every industry has been leveraging on. When it comes to donations, people have started to donate Bitcoin and other cryptocurrencies for a change. There are plenty of reasons why you should accept crypto donations. Here are a few prominent reasons to do so-:
- Raise more:
- Cryptocurrency fees are significantly lower than fiat fees, so you’ll get much more funds for your Great Cause.
- Tax deductions – In some countries, donations in crypto, as it is considered property rather than capital, are tax-deductible.
- Cryptocurrency could be a great investment, too.
- You can never have too many donation venues. Add cryptocurrency to fiat!
- Even the smallest donations are possible, enabling grassroot fundraising opportunities.
- NOWPayments has lowest donation minimums in the crypto world
- NOWPayments offers multiple currencies + automatic crypto conversion
- NOWPayments boasts average 0,5% flat fee + high volume discounts + no chargebacks.
- New potential audience:
- Core Communities: As a rule, every cryptocurrency has its own solid and very dedicated community, which is more than happy to see their favorite coin in use for the greater good.
- Tech-savvy, wealthy demographics: Crypto world has its fair share of wealthy individuals, so becoming one of the first charities to accept crypto will appeal to the tech-savvy, wealthy demographics.
- NOWPayments is thrilled to engage both coin communities and crypto-media in the process!
- Boost your brand and get better visibility.
- NOWPayments can help with our customized widgets and buttons that will be tailored for your needs!
- Transparency and Security.
- Blockchain technology allows to track donations, showing the donors that their funds are used for the proper cause.
- Crypto payments are irreversible, protecting you from losses on chargebacks.
- NOWPayments has a convenient dashboard to track all your transactions that go straight to your wallet, as we are non-custodial.
- Global coverage. There’s no need for banks. Donors can use a crypto donation widget or button – as simple as that!
How To Receive Donations in Cryptocurrencies?
The first thing that you need to learn is how to accept donations in cryptocurrency. There are several ways to do so.
Payment Processor – NOWPayments
The most common and fastest way to accept crypto donations is to use a donation platform that instantly converts the crypto into local currency. NOWPayments can help donors donate 30+ cryptocurrencies. One just has to set up a donation button.
#Step 1: Set up a crypto donation button using NOWPayments
To easily set up a crypto donation button, head on to NOWPayments.io, and follow the steps below:
1. Set up your NOWPayments.io account and log in.
2. Go to “Store settings”.
3. Set up your “Outcome Wallet” including all the crypto wallets you want to receive donations on. Here, enter your wallet address and specify the crypto you will be accepting.
4. Add a new API key and copy it to your clipboard.
NB: Be careful to set the right wallet address and explanation of what crypto you will be accepting.
5. Set base currency.
6. Complete payment settings including the markup (if necessary) and covering options.
7. Save changes.
#Step 2: Generate crypto donation link on NOWPayments
1. Go to the NOWPayments Merchant Tools and click “Donation buttons”
2. Add your copied API Key to the space provided.
3. Choose your preferred color of the donation button and save the image.
4. Copy code to your web site
Cryptocurrency Donation Platforms
It is a hybrid solution for crypto donations. There are plenty of platforms that are currently helping non-profit organizations to get donations in cryptocurrency. These platforms are designed with a better interface when compared to personal wallets. GiveTrack, Binance Charity, and Helpbit are some of the services that will come in handy.
Another great initiative is CryptoGivingTuesday. When you launch your crypto fundraising, you need to add your organization to the CryptoGivingTuesday; it is a collector of charities in crypto. They have a dedicated personal profile where they add information about the activities, social media handles, accounts, and media events. The “donate crypto” button will redirect to the payment page where payments can be made. The same page can be used to manage funds. CryptoGivingTuesdays has become widely popular among the crypto holders who want to create a charity or the ones that have already started accepting crypto.
Crypto Donation Initiatives That You Need To Know About
Pineapple Fund was a charitable initiative started by an anonymous individual to experiment with a charity with cryptocurrency. He donated around $55 million Bitcoin (5057 BTC) to 60 different charities. Another highlight was that Pineapple Fund made two of the three biggest BTC donations that have been made in history. It was around 320.8 BTC ($5.3 million) to GiveDirectly. And $274.3 BTC ($2.1 million) to the Justice Institute.
Another notable charitable trust is Fidelity Charitable that has raised more than $100 million crypto donation online. It raised the fund for non-profit organizations and GiveCrypto (a non-profit crypto company that donates crypto to people). Charity Water also received donations in crypto worth $1 million.
The following are some notable crypto donations that have happened so far:
- Ripple Co-Founder donated $25 million worth XRP to San Francisco University.
- Ripple also donated $29 million worth XRP to DonorsChoose and $50 million worth XRP to different universities for the Blockchain Research Initiative.
- Ashton Kutcher donated $4 million worth XRP to the Wildlife Fund run by Ellen Degeneres.
The Bottom Line
Now you can easily make crypto donations through effective means. Charitable trusts have created crypto donation pages and implemented crypto donation buttons and widgets for the crypto holders who want to donate crypto.
Why use NOWPayments.io?
NOWPayments is the easiest way to accept online payments in a wide variety of cryptocurrencies. This service is custody-free, has competitive fees and is available worldwide.
- Over 50 cryptocurrencies are accepted on the platform with an in-built exchange feature;
- API, widgets, plugins and a donation button are all easy to integrate;
- It is a non-custodial service ensuring the security of your funds;
- A very simple setup