Why Crypto Donations Are Becoming a Big Deal

You might have heard that people are donating more cryptocurrency to charities lately. But why is this happening? Well, crypto investors are finding out that it can be really beneficial. Kyle Casserino, who works at Fidelity Charitable, a charity that accepts bitcoin, ethereum, and litecoin, says that many people are seeing how great it is to donate crypto. In 2024, Fidelity Charitable received $688 million in crypto donations by November 19. That's a big jump from $49 million in all of 2023 and $38 million in 2022, according to their report. Since they started accepting crypto in 2015, they've received over $565 million in total. Most of these donations are in bitcoin, said Casserino. Another charity, DAFgiving360, used to be called Schwab Charitable. They don't share exact numbers for crypto donations, but they said that 63% of their contributions in 2024 were in non-cash assets like crypto and stocks. A platform called The Giving Block reported that 56% of the top 100 U. S. charities accepted crypto donations as of January 2024. So, why is donating crypto a good idea? Andrew Gordon, who is both a tax attorney and a certified public accountant, explains that most people use the standard tax deduction, which doesn't allow for itemized breaks like charitable gifts. But if you can itemize your taxes, it's usually better to donate profitable assets like crypto or stocks instead of cash.