NFTs for Charity Fundraising

• 28-01-2022

Despite floating around the digital realm for a few years now, non-fungible tokens (NFTs) have become a huge point of interest in 2021. Virtually, every industry has the potential for NFT adoption and these extremely unique assets are a fantastic medium for charitable organisations and purpose-led businesses to raise funds while keeping at the forefront of the tech landscape. NFT's can be bought and sold, like any other piece of property, and can be a vehicle for raising funds safely and transparently.

Last year, we saw the rise of cashless giving during the pandemic of COVID-19. Some charities have already familiarised themselves with alternative ways to donate, such as cryptocurrency. It is evident there has been devastation in the charity events sector due to global restrictions, but this way of borderless and permissionless financing has grown in appeal, making donations more accessible for all. There has been an influx in crypto start-ups, such as The Giving Block, which link non-profits with the ability to receive donations in cryptocurrency on the blockchain.

NFTs have allowed individuals, celebrities, public figures and purpose-led businesses to auction off digital creations with all the proceeds going toward their chosen charity. The blockchain version of these charitable events is powerful. This is because there is far less overhead in terms of logistics and set-up of the auctions, and the funds can have a completely transparent history of where they end up. Due to the nature of viral charity content we have seen over recent years, it appears the use of NFTs for charities has the potential to be a very lucrative business. We have seen viral charity content spread like wildfire across the world solely using video and image content. NFTs could be applied to charitable viral content, in the same way, attracting millions of views, buying, reselling and auctioning off to maximise fundraising efforts.

Virtually, every industry has the potential for NFT adoption. These rare and unique assets are a fantastic medium for charitable organisations and purpose-led businesses to raise funds and urge individuals to get involved and support their mission, all while keeping at the forefront of the tech landscape.

Admittedly, not every cause out there is necessarily ready to begin engaging with NFTs as it can be an intimidating space for charities. For the foreseeable future, traditionally designed auctions of NFT items can still do immense good and we will see this area continue to evolve along with the tech landscape.

In general, NFTs are opening doors to new opportunities. The sheer potential of possibilities are still being explored and this is something we can expect to see in the coming months and years. It's fantastic and exciting to see how organisations in the charity space can leverage technology to their advantage. More leaders in the charity sector will begin to familiarise themselves with this alternative way of giving. As a result of this, we will see more philanthropic auctions and virtual charity events, not to mention more creative and imaginative fundraising schemes in the digital age.