Cryptocurrency donations open up to charities a “new donor demographic” that they cannot afford to miss out on.

Charities accepting crypto donations are gearing up for a whole new demographic of donors – according to charities, they are among the biggest donors.

Alex Wilson, co-founder of The Giving Block, a cryptocurrency donation platform that provides internal support for charities, told Cointelegraph that the crypto community is still a market where many charities do not interact.

Top charities in the world by funding received, including United Way Worldwide, Feeding America and UNICEF. All three accept cryptocurrencies as donation tools.

The Giving Block co-founder said that the crypto community is great for the “charitable use” of cryptocurrencies, and that these crypto donors are also among the “most generous” with an average donation of over $10,000.

UNICEF Australia’s Head of New Products and Innovation Zunilka Whitnall said it was important for charities to apply blockchain technology to make their fundraising activities more transparent to the general public. She also stated that the technology would give them access to “a new demographic of sponsors”.

However, Whitnall noted that there is a “gap in understanding” of what blockchain is and how it works for many charities.

Bryce Thomas, co-founder of Tokens for Humanity, an organization that develops blockchain applications for the charitable industry, told Cointelegraph that the majority of cryptocurrency holders and users are between the ages of 18 and 35.

Thomas said blockchain integration “solves the problem” of donor engagement with a younger population.

He also noted that there is a “rebirth” of interest in monitoring and reporting on the impact of nonprofits, and that blockchain technology will provide clearer opportunities for transparency and accountability.

UNICEF’s Whitnall said blockchain technology is now focused on making it more efficient in allocating resources globally, as well as making internal operations more efficient and transparent to the wider community.

Related: NFTs and Cryptocurrencies Offer Fundraising Options to Raise Breast Cancer Awareness

Cryptocurrency has been a popular way to donate to charity. Ether

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It was the most donated cryptocurrency in 2021 with a total donation of $30.79 million through The Giving Block.

This year, cryptocurrency donations have been Ukraine’s most important defense against Russia, with the government of Ukraine spending $54 million in cryptocurrency donations on military hardware, equipment and ammunition, among other defense equipment.

Source: CoinTelegraph