Many people may not be aware that nonprofit organizations accept donations in crypto. There are many benefits to donating crypto to charity, including having the funds reach these organizations in need faster and more affordably.
August 17 was National Nonprofit Day, which is a day to recognize the work nonprofits perform and a time to donate, volunteer or spread the word about these organizations. With a 583% increase in crypto donations for Giving Tuesday in 2021, according to a study by Fidelity Charitable, donating crypto is a trend that will only continue to grow.
At the advent of the Russian-Ukrainian war, the crypto community rallied and donated $59 million to the Ukrainian war effort. Ukraine specifically asked for cryptocurrency since they would receive the funds quickly versus bank transfers that could take days.
Below you’ll find an overview of the benefits of donating crypto, charities that accept crypto donations and how to avoid scams.
Benefits of donating crypto to charities
Since the IRS classifies crypto as property, you can receive a tax deduction for the fair market value of the crypto. Many investors donate crypto to avoid capital gains taxes. Consult a tax-planning professional to discuss your personal tax circumstances before donating crypto.
A benefit for the organization is that it quickly receives funds without having to pay a card provider fees upward of 2.2-7.5% to accept donations or wait for the contribution to hit their bank account. The charity can receive more of the gift to be quickly put to use to continue their good work expediently.
10 National Charities that accept crypto donations
Many organizations accept a gift of crypto. Below are ten of them and an overview of what they focus on:
- American Heart Association: The American Heart Association has led efforts to fight heart disease and stroke for nearly 100 years. The association accepts donations of bitcoin, Dogecoin, Ethereum, Polygon (MATIC), USD Coin (USDC) and more.
- Be the Match: Be the Match is an organization that saves lives through cellular therapies. The organization accepts donations of bitcoin, Chainlink, Ethereum, Polkadot and others.
- Dolly Parton’s Imagination Library: Dolly Parton’s Imagination Library gifts books to children to promote the lifelong love of reading. The library accepts donations of bitcoin, Ethereum, Shiba Inu, Solana, Uniswap and others.
- Elton John AIDS Foundation: The Elton John AIDS Foundation was established in 1992 as one of the leading AIDS foundations with a mission to end the AIDS epidemic. The foundation accepts crypto donations to help achieve an AIDS-free world by 2030. It accepts donations of ApeCoin, bitcoin, Ethereum, Litecoin, Compound and more.
- Make a Wish International: Make a Wish International works to make the desires of critically ill children a reality. The wishes bring happiness in adverse circumstances for children and their families. Make a Wish International accepts bitcoin, Ethereum, Dai, Fantom, SushiSwap and more.
- March of Dimes: The March of Dimes promotes the help of mothers and their babies. Despite the name, the organization accepts crypto to encourage research, education and training of healthcare professionals. The organization accepts donations of Ankr, bitcoin, Ethereum, Gemini Dollar, Tezos and others.
- No Kid Hungry: No Kid Hungry is a national campaign established by Share Our Strength, working to solve poverty and hunger in the U.S. and beyond. Donating bitcoin, Ethereum, Polkadot, Solana, USDC and other cryptocurrencies contributes to the fight to end childhood hunger.
- PAWS: PAWS champions animals by rehabilitating injured wildlife, sheltering homeless cats and dogs and promoting education to create a better world for all. The organization accepts contributions of bitcoin, Ethereum, Dogecoin, Shiba Inu, Polygon (MATIC) and more.
- Pencils of Promise: Pencils of Promise wants to ensure that every child has a quality education. It establishes schools and programs to promote education for all. You can give crypto to give education, with the organization accepting bitcoin, Chainlink, Ethereum, Gemini Dollar, Litecoin, USDC and more.
- Women for Women International: Women for Women International supports women in countries affected by war to support them in their efforts to earn a living, save money and improve their health and wellbeing. Women for Women International accepts contributions of bitcoin, Ethereum, Polkadot, Solana, Uniswap and other cryptos.
For a complete list of charities that accept crypto donations, you can visit https://thegivingblock.com/resources/nonprofits-accepting-crypto-donations/.
How to avoid scams
Although many legitimate charities accept donations, some bad actors pose as a charity to falsely solicit donations. So again, you want to do your own research (DYOR) on the organizations you want to support to verify they are legitimate or they are a 501(c)(3) nonprofit if you want to claim tax benefits.
It is also prudent to be wary of links on social media that purport to be from legitimate nonprofit organizations but are actually scammers in disguise. Verify that the links are coming from verified accounts. For example, on Twitter or Instagram, you can verify an organization’s legitimate social media account if it has a check next to its name on its profile.
When sending the donation, it is essential to check, double-check and triple-check the wallet address to ensure the funds are being sent to the correct wallet address. Be sure to visit the organization’s official website to verify the wallet address or contact the organization. Remember, once you send crypto, the transaction cannot be reversed.
If you are interested in donating crypto but don’t know how to purchase it, look no further than Coinme! Coinme’s network of over 21,000 crypto-enabled Coinstar or MoneyGram locations are easily accessible right in your neighborhood. The crypto purchased is immediately available to send to the charity of your choice if you wish to donate. Visit coinme.com/locations to find a Coinme-enabled location near you.