More than half of US charities now accept cryptocurrency donations.

Cryptocurrency adoption in the charity space is growing rapidly, with 56% of the top 100 charities in the United States now accepting crypto donations as of January 2024, according to a 2024 report by crypto charity The Giving Block.

This marks a major shift for nonprofits, many of which were initially hesitant to accept crypto payments.

According to the report, “When we launched Block Giving in 2018, we had to practically close the door on nonprofits talking to us about bitcoin.

The report added, “A lot has changed since then.

Cointelegraph spoke with Alex Wilson, co-founder of Giving Block, to find out how attitudes are changing and what he expects to see in the future towards greater crypto adoption.

“Yes, over time, we will continue to see nonprofits accepting cryptocurrency donations,” Wilson said. “The market is too big to ignore. There aren't many markets in the world that allow a nonprofit with a $2 trillion donor base to tap into.”

Wilson believes that knowledge and familiarity with cryptocurrency are the key to this change.

“Most of it is about education. Many nonprofits don't realize how many people own cryptocurrency. But when they realize that, they quickly come around to it,” he said.

Simplifying crypto donations

To get as many charities on board as possible, The Giving Block aims to make it easier for charities to accept crypto donations. Part of that comes in the form of an auto-sell feature, which transfers crypto to dollars upon donation.

“You can choose to hodel if you want, but most are more comfortable with diluting the donation, like how you treat cash donations like stocks or other types of assets. Our goal is to make taking crypto as easy as taking any gift to a nonprofit,” Wilson said.

With this in mind, using a donation solution can reduce a nonprofit's exposure to cryptocurrency.

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“The main trap is trying to do too much without knowing what you're doing,” says Wilson. “Some nonprofits choose to take things on themselves rather than work with a trusted partner.”

According to Wilson, for those who try to go it alone, “it usually doesn't end well.”

Trusted Partners: Facilitating Adoption

Save the Children is an organization focused on improving the lives of children worldwide and began accepting Bitcoin (BTC) in 2013 after Typhoon Haiyan hit the Philippines.

Ettore Rossetti, Chief Advisor for Technology, Marketing and Innovation Partnerships at Save the Children, told Cointelegraph that the path to accepting crypto donations has not been entirely straightforward and that the initiative will require multiple signals from various departments before moving forward.

“I obtained the appropriate legal, financial and media relations permits to receive that Bitcoin donation,” Rossetti said, adding that “there were concerns” centered on issues such as environmental impact.

Even with those concerns, Rossetti was able to get all the necessary approvals within 24 hours, proving that where the permit is, progress can indeed be very fast.

Using a variety of trusted partners since 2013, Save the Children is now one of several nonprofits working with Giving Block. Many of its programs have benefited from the generosity of crypto donors.

For example, in Afghanistan, crypto donors helped 730,000 children with humanitarian aid after the US withdrawal.

In the year Following the 2023 earthquakes in Syria and Turkey, crypto donations funded Save the Children's water and sanitation program, reaching 1.1 million children and a total of 2.6 million people.

In Uganda, in partnership with Women's World, it raised $100,000 – helping to meet the educational needs of 115,000 children and teenagers.

The troubled reputation of crypto

Although crypto and charitable giving are becoming increasingly close, there are still challenges ahead. The mainstream media has not always been kind to the blockchain industry, and nonprofits need to be mindful of their reputation.

There are figures like US Senator Elizabeth Warren who have linked the crypto industry to illegal activity. We asked Wilson what impact figures like Warren have on the industry.

“It's frustrating that Elizabeth Warren and other politicians often use exaggerated or downright false information to support their claims,” ​​Wilson said. “Fortunately, the facts are on our side, and the evidence is clear that there is less illegal activity than people like Elizabeth Warren say. All evidence suggests that there is less illegal activity in crypto than in the traditional economy.

Rossetti said that one thing that Save the Children should actively consider is the environment and “the reputation associated with issues like energy use, especially proof-of-work chains like the Bitcoin blockchain.”

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For Rossetti and Save the Children, everything from climate change “exacerbating the problems children face – more natural disasters and so on” is something they constantly think about.

“We are the first non-profit in the world to be part of the Green Climate Fund and the only children's charity. So we are proud. We only have one planet,” Rossetti said.

But on closer inspection, beyond the headlines, much of blockchain is powered by renewable sources or untapped energy. And so, that basically tends to be overcrowded.

Crypto for good: #HODLhope

Save the Children's latest drive for crypto samaritans is #HODLhope. According to the campaign, “Children around the world are being robbed of their future by a global economy built on inequality and greed.” […] Save the Children believes that blockchain technology and cryptocurrencies can be a force for good and financial inclusion.

#HODLhope's goal is to raise $10 million in crypto donations by the end of 2024, allowing children around the world to hold onto hope. Having raised nearly $8 million in March, the campaign looks set to get just that.

For 44% of the 100 American charities so far to activate the power of Bitcoin and cryptocurrency in general, now may be the time to take note.