The Future of Fundraising: Nonprofits Turn to Crypto

By: Monica Lavin

Cryptocurrency has moved from a niche concept to a mainstream financial tool and nonprofits are taking notice. In recent years, digital assets like Bitcoin and Ethereum have emerged as valuable resources for donations, reshaping how organizations raise funds and engage with donors.  

In 2024, more than $1 billion worth of cryptocurrency was donated to charitable causes according to Nonprofit Pro’s 2025 Annual Report. In another report by Nonprofit News Feed, Fidelity Charitable Foundation, the nation’s largest grant-maker, reported receiving $331 million in digital assets in 2021, which was a sharp increase from the $28 million donated the year prior.  

One of the biggest incentives for donors is the tax efficiency of donating via cryptocurrency. A recent Forbes article stated that donating appreciated digital assets directly to a nonprofit allows contributors to avoid capital gains taxes while claiming a deduction for the asset’s market value. (Always consult a tax specialist or financial advisor before making financial decisions.) 

Cryptocurrency also helps nonprofits connect with the younger, tech-savvy generation of donors. These donors are more likely to own digital assets and support causes they care about. A Fidelity Charitable study found that 45% of crypto investors donated $1,000 or more to charity in 2020, compared to 33% of traditional investors. Accepting crypto signals innovation and positions nonprofits to engage with this different demographic of online donors.  

Transparency 

Blockchain, the technology behind cryptocurrencies, records every transaction on a public ledger. This creates a clear, traceable record of how funds are received and potentially used. While full implementation is still developing, this level of transparency can build trust and accountability with donors and organizations.  

Major nonprofits are increasingly open to cryptocurrency donations. As of January 2024, 56% of Forbes’ Top 100 Charities accepted digital assets. Platforms like The Giving Block and Engiven help organizations securely manage crypto gifts while complying with regulations.  

Looking Ahead 

As digital assets gain traction among individuals, businesses and governments, nonprofits that adapt early will be better positioned for long-term success. Cryptocurrency isn't just a passing trend and offers nonprofits a way to expand their audience, increase transparency and stay ahead of the rapidly changing fundraising landscape.