“Do you know about Bitcoin?”
It’s a question you’ve no doubt heard by now.
As the best-known version of cryptocurrency, the fact that the average person can refer to “Bitcoin” with some level of recognition goes to show that the subject of digital money has hit the mainstream.
Cryptocurrency has moved beyond just a topic of conversation. As of April 2021, 21.2 million adults in the U.S. (14% of the adult population) own some form of cryptocurrency such as Bitcoin or Ethereum.
While it’s a good idea for every nonprofit to have a working knowledge of cryptocurrency, it’s even more important that you understand why you should care about it in the first place.
And that starts by actually understanding what it is.
The Next Milestone
Money makes the world go ’round. And for nonprofits in particular, donations drive their ability to accomplish their mission. As fundraisers, we raise funds to accomplish a mission.
So it’s crucial to stay ahead of the curve and educated on the opportunities that have the potential to drive our organizations forward.
At its foundation, cryptocurrency is a form of funds. And as blockchain technology continues to change at a rapid rate, it could possibly replace many of the industries and models that we rely on every day.
Having served in nonprofit leadership myself, I believe these changes will have significant implications for organizations across the board for the next 10-20 years.
And not just financially.
So, why should you care?
Over the past decade, we have seen a continual shift in how donations are made, specifically moving from checks in the mail to digital transactions on a website. And as that shift continues, we are seeing a move from digital donations on a computer to digital donations on a mobile device.
The world of fundraising is shifting fast around these new technologies, and I believe blockchain technology and cryptocurrency may very well be the next major shift in the donation ecosystem.
Money Is Changing
Every form of currency has a story. And as it continues to change, we could be witnessing another evolution in the realm of money.
On the other hand, the experiment may fizzle out under the pressure of complex global systems and government regulations that rely on the current financial realities of today. Time will tell.
But my bet is on cryptocurrency.
As the world becomes more and more digital and global exchange more critical, digital currency makes so much natural sense. The question to me is not if digital currency is going to be our primary currency for exchange, but when.
So as a leader, if you jump out ahead of the trend and you’re right, your organization will be much better for it. If you’re wrong and cryptocurrency fizzles, then the worse case scenario is a little lost time.
And get this: One of the founders at Engiven, a cryptocurrency donation platform, recently shared an interesting data point:
The average crypto donation on their platform in 2020 was valued at over $8,000.
If that doesn’t get your attention, I’m not sure what will.
If the thought of this shift overwhelms you, don’t let it. Setting up a crypto donation platform on Engiven is free and will take you less than 15 minutes.
Seems like a low-risk high possible reward opportunity to me.
For more insight on the topic of cryptocurrency, check out my book Crypto For Good: Demystifying Cryptocurrencies for Nonprofits.
And for more information about Engiven cryptocurrency donations, visit https://dunham.engiven.com/
+ More Insights from Dunham+Company: “Cryptocurrency 101”
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