BitPay Has Processed $37 Million of Bitcoin Donations Since 2017
BitPay has revealed that it has processed over $37 million in cryptocurrency-denominated donations since 2017.
Charitable organizations that accept bitcoin donations through BitPay may be able to broaden their donor bases to those who use cryptocurrency, while the processor protects them from the price volatility that can occur with bitcoin transactions.
The Power of Bitcoin Donations
The Tony Hawk Foundation (THF), for instance, is the latest major nonprofit charity to accept cryptocurrency donations through BitPay. THF, established in 2002 by professional skateboarder Tony Hawk to empower youth in low-income communities, is now accepting bitcoin donations in the U.S. and abroad.
Through bitcoin, THF not only has access to a new global donor base. The donations that come in as BTC should have reduced transaction fees and more transparency and efficiency, especially in regions where traditional banking systems fail. BitPay donations can be made from any computer or mobile device and invoices are generated by email.
“THF has long been recognized for our innovative approach to building communities, and we’re excited to offer this great new way to support our work,” said the executive director of THF, Miki Vuckovich.
Bitcoin Donations on the Rise
Several other nonprofits have also opened their donation efforts to blockchain-based payments, including the American National Red Cross, the Electronic Field Foundation, Greenpeace, The San Francisco Foundation, Heifer International, The Water Project, Teach for America, United Way Innovation Fund and the Wikimedia Foundation.
In addition to bitcoin, BitPay users can make donations with bitcoin cash and BitPay will verify the funds and accept them on behalf of the organization, which can then choose whether they want to accept the funds via bitcoin, bitcoin cash, fiat currency or a combination.
“Bitcoin and bitcoin cash offer an economical payment option in comparison to traditional bank options where more money goes to charity rather than paying fees,” said Sonny Singh, chief commercial officer of BitPay. “As blockchain payments continue to move mainstream, we are seeing an increase in donations from the crypto community.”
Organizations that choose to accept a donation in 100 percent fiat will see the funds deposited into their bank account the next business day, minus a 1 percent fee to BitPay for the whole process. Still, that fee is likely much smaller than those charged by credit card companies and BitPay donations are treated as cash contributions, so donors will receive donation acknowledgements for tax purposes.