ccording to Alex Wilson, co-founder of The Giving Block, a crypto donation platform that provides back-end support to charities, the crypto community is still a market with which many charity organizations have yet to interact.
United Way Worldwide, Feeding America, and UNICEF are among the world's top charity organizations in terms of funds received. All three accept cryptocurrency donations.
The co-founder of Giving Block said that the community has been fantastic with the philanthropic use of digital currency, and those donors are also among the most generous, with the average gift exceeding $10,000.
Zunilka Whitnall, UNICEF Australia's New Product, and Innovation Lead stated that charities should use blockchain technology to make their fundraising more transparent to the general public. She also mentioned that the technology will give them access to a new demographic of funders.
On the other hand, Whitnall stated that there is a gap in understanding blockchain and how it works for many charitable organizations.
Bryce Thomas, co-founder of Tokens for Humanity, an organization working to develop blockchain solutions for the charitable sector, told that the majority of holders and users are aged between the ages of 18 and 35 — a demographic that many charities find challenging to engage with.
Blockchain integration, according to Thomas, solves the problem of donor engagement with younger demographics. He also mentioned a resurgence of interest in monitoring and disclosing the impact of nonprofits, and that blockchain technology would allow for greater transparency and accountability.
Whitnall of UNICEF stated that the organization's current focus with blockchain technology is to improve its efficiency in distributing resources globally, as well as to make internal production more effective and transparent to the wider community.
Cryptocurrency has become a popular way for people to donate to charitable organizations. In 2021, Ether was the most-donated cryptocurrency, with a total donation volume of $30.79 million via The Giving Block.
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