top of page
  • Writer's pictureSam Joel

Can you donate cryptocurrency to a charity in Australia?

Updated: Mar 4

GiveTree makes donating cryptocurrency to charity easy
GiveTree makes donating cryptocurrency easy

Can you donate cryptocurrency to a charity in Australia?

Yes, in Australia you can donate cryptocurrency to charity. The Australian Charities & Not-for-profits Commission (ACNC) has created a charities and crypto-assets guide page which you can read here > The ACNC charities and crypto-assets guide The ACNC has done a great job at creating a detailed guide that clearly defines different scenarios and requirements for both donors and charities. So, for example, they separate the risk between a charity investing in cryptocurrency assets and charities accepting cryptocurrency donations which hold separate and significantly different types of risks.


The Australian Federal Government has also started to regulate blockchain and cryptocurrency in Australia. The first version of the Digital Assets (Market Regulation) Bill 2023 can be found here > Digital Assets (Market Regulation) Bill 2023 In this proposed legislation the Australian Federal Government is going to define some cryptocurrencies as securities which will have implications on tax. Cryptocurrency donations to charities with deductible gift recipient status (DGR) are currently tax deductible (as of 2024). Still, it is a good idea to seek financial advice on calculating the tax you owe to the Australian Taxation Office from your cryptocurrency transactions & investments each financial year because the legislation is evolving and may start affecting different types of cryptocurrency donations as laws change and evolve. If you contact the Australian Tax Office (ATO) you can get some free advice on cryptocurrency donations.


One of the most famous cryptocurrency donations is when Vitalik Buterin the inventor of Ethereum donated USD 9.4m to the University of Maryland which you can read more about here > Vitalik Donates USD 9.4m If you are considering making a cryptocurrency donation to your favourite charity and cause, it's a good idea to check with the charity you would like to support if they are set up and ready to accept cryptocurrency donations. You may have to help them get started if they have not done it before. Out of the 60,000 registered charities in Australia, many of them are not currently in a position to accept your donation because the technology is still so new.


Platforms like The Giving Block (and GiveTree once we launch in 2024) can help you quickly and easily find charities that are already set up and ready to accept cryptocurrency donations. The largest cryptocurrency donation to charity in Australia was when a Dutch Artist from the Art Blocks community donated Ethereum 1188.226 (US$3.5m) to Doctors Without Borders Australia. What a lot of people don't know is that Doctors Without Borders Australia was not the artist's first choice. The artist had originally intended to support a different charity and cause but unfortunately, that charity was not set up and ready to accept cryptocurrency donations so the artist had to find an alternative. The artist was able to use The Giving Block's directory to find a suitable alternative. When the artist saw that Doctors Without Borders Australia were set up and ready to go, they were able to process their donation of US $3.5m in cryptocurrency which you can read about here > USD 3.5m donation from Art Blocks artist

 


“When I worked at MSF USA 15 years ago, there was a similar feeling from the gaming tech community,’’ she said. “They’re both really enthusiastic online, irreverent, and innovative.’’
Jennifer Tierney, MSF Australia Executive Director (26 November 2021)
 

At GiveTree, we have created a platform that aims to empower these brand new ways of donating and fundraising for charity while still maintaining a high standard of quality that addresses all of the charity's concerns including making sure the charity understands who their donors are and where the funds are coming from using Know Your Customer (KYC) and Know Your Transaction (KYT) checks every step of the way, tracking and recording their donation history, avoiding price volatility, converting to fiat currency from cryptocurrency and then sending to their operational bank account, sending donor data to their CRM system, receipting multiple price points, and more. Launching 2024.

 
 

Opmerkingen


Opmerkingen zijn uitgezet.
bottom of page