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Thanks to all the advantages described above, Bitcoin may very well stop various dubious charity organizations from amassing considerable illegitimate profits which means that the donations will reach where they are indeed needed. Before committing to donate Bitcoin, there are a couple of drawbacks that are worth keeping in mind. The first one is linked to one of the biggest issues cryptocurrencies are currently undergoing — the unstable, volatile market. This means that the Bitcoin price could very well experience an astronomical rise, in which case, all is good.
Conversely, it could also drop steeply, rendering your donation a lot less satisfying and useful. However, the good news is that few charities are likely to hold on to the said Bitcoin donations for too long. Another disadvantage of Bitcoin donations is related to the complicated manner of cryptocurrencies and the blockchain technology in general. Obviously, in order to donate Bitcoin, you will need to own some Bitcoin. Bitcoin can be acquired in two ways, you can either mine it, or you can purchase it from exchanges such as Binance , OKEx , Huobi , Bithumb , and so forth.
The next step involves you having to store BTC in a Bitcoin-compliant wallet. Evidently, you can store your Bitcoin on the basic wallets offered by most exchanges, but this is not recommended due to the big security risks involved. In short, you will have to choose the desired amount of Bitcoin and send it to the official wallet address of the organization.
A good place to start looking for charitable organizations that accept Bitcoin donations is to check out the list on the Bitcoinforcharity. One thing is certain, though: cryptocurrencies and their underlying technology will continue to improve various aspects of our lives. By Vladimir C. Why should you consider donating with Bitcoin? What are the potential drawbacks of donating with Bitcoin? Where do I found charitable causes or organizations that accept Bitcoin donations? Notice: The information in this article and the links provided are for general information purposes only and should not constitute any financial or investment advice.
We advise you to do your own research or consult a professional before making financial decisions. Please acknowledge that we are not responsible for any loss caused by any information present on this website. We work together with six big Hunger Fighting Charities, to provide an easy platform for cryptocurrency users to donate. Action Against Hunger. This model includes two significant benefits, both for you and the Charity:.
Your tax deduction will be equal to the fair market value of the donated bitcoin as determined by a qualified appraisal. Your gift to charity will be larger because instead of paying capital gains taxes, the c 3 charity will receive the full value of your contribution. The coronavirus crisis has upended the lives of millions, with no clear end in sight. As COVID spreads, it poses a grave danger, especially in communities with struggling health systems.
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