CoinMarketCap recently reported that the total value of the cryptocurrency market is past the $441 billion mark. That is a lot of untapped wealth that many non-profit organizations could benefit from. Too few of them have any system in place to accept cryptocurrency donations, however.
Granted, the volatility of the market has made many people doubt whether or not cryptocurrencies as a concept is here to stay. For that reason, non-profits could have been put off the idea of developing a system to accept such donations. But despite the fluctuations in the market, cryptocurrencies like Bitcoin have been around for a decade.
There is a lot of money to be donated
Bitcoin alone is valued at around $9,000 per coin. If you add up all the Bitcoins that are currently in existence, that comes out to $150 billion. Even if one does not believe that Bitcoin is a currency that will last, the fact that corporate giants like IBM and Facebook are investing in blockchain technology is a sign that it will be part of the future. Therefore, non-profit organizations would do wisely to at least become familiar with the cryptocurrency space.
Another reason why non-profits should consider accepting cryptocurrencies is that wealthy investors are unlikely to sell off their tokens for fiat money anytime soon. They are also unlikely to convert their cryptocurrencies to fiat money in order to be able to donate to a non-profits, as this will incur big transaction fees on their part.
Of course, the non-profits themselves can convert the donations they receive in cryptocurrencies to fiat money in order to be able to use the money. Very few vendors accept cryptocurrencies at present, so it would only be natural for non-profits to ensure they can make use of the donations.
Many donors wish to retain their anonymity
Accepting cryptocurrencies in donations would also open up a whole new market for charities and other non-profits. Many investors in cryptocurrencies are attracted to the concept because it provides them with anonymity.
The community includes many libertarians, who have an inherent distrust when it comes to anything related to the government. Without the protection of anonymity, it is unlikely they would make a donation in the first place. By accepting cryptocurrencies, non-profit organizations will open up their doors to libertarian anonymous donors.
How can non-profit organizations accept cryptocurrency donations?
There are several ways in which non-profits can accept cryptocurrencies as donations. One of them is Bitpay, which allows them to store, spend or convert their Bitcoins into fiat money. Another app is Robinhood, which will allow for commission-free trading in cryptocurrencies. Causecast is another useful app, as it allows donations in cryptocurrencies to be converted into fiat money automatically.
The cryptocurrency economy is not going anywhere anytime soon, and any non-profit organization wishing to maximize the amount of donations they receive would be wise to explore the options for cryptocurrency donations.
Do you know any apps that would be useful for non-profit organizations? Leave your comments in the section below!