Nonprofit organizations are expressing great interest in cryptocurrencies. Most foundations would like to accept donations this way. There are already examples of successful experiments and charity programs using blockchain. However, there are still some obstacles to clear before blockchain can be used for charitable platforms.
For example, the World Food Program (WFP) implemented the Building Blocks blockchain system to collect and distribute donations for 100,000 refugees in Jordan and make remittances faster, more accessible, and more transparent. Other local programs and tests show blockchain does a good job of controlling and securing financial flows.
At the same time, few foundations plan to implement donation mechanisms using cryptocurrencies anytime soon. There are three main reasons why: uncertainty about the legal status of cryptocurrencies, technical difficulties, and a lack of understanding of how to properly account to the government for these funds. The organizations are also concerned about the ethical origins of cryptocurrency.
At the same time, few foundations plan to implement donation mechanisms using cryptocurrencies anytime soon. There are three main reasons why: uncertainty about the legal status of cryptocurrencies, technical difficulties, and a lack of understanding of how to properly account to the government for these funds. The organizations are also concerned about the ethical origins of cryptocurrency.
