Donate Cryptocurrency

Our third-party platform, Engiven, provides the highest level of safety by using blockchain security. Relying on the networks of thousands of computers to verify transactions, Engiven drastically minimizes the risk of cyber-attacks or fraud.

Donating cryptocurrency to nonprofits has several advantages. It’s a convenient and secure way to give to your favorite causes and help change lives. To donate cryptocurrency to Love the Nations, follow the steps in the form above and your donation will be complete in just a few minutes. As with any other donation type, donating crypto qualifies you for the charitable contribution tax credit. Donating cryptocurrency is also one of the most tax-efficient ways to support a nonprofit. Since the IRS considers cryptocurrency to be a noncash asset, a direct charitable donation is a non-taxable event. In other words, you avoid paying the capital gains tax you would incur if you sold your cryptocurrency for more than you bought it. Avoiding the capital gains tax through a direct donation also means that your gift to the receiving nonprofit is maximized. With Love the Nations, that translates into more help for families in need!

The Engiven platform is the software Love the Nations uses to process cryptocurrency donations. Engiven enables nonprofits like Love the Nations to securely receive cryptocurrency donations. Then those donations are exchanged for usable currency, such as US dollars. Learn more about Engiven.

While Bitcoin is the largest and most widely accepted cryptocurrency, most charities who accept cryptocurrency donations work with a vendor to process them and can consequently accept dozens of different crypto donations. Love the Nations works with Engiven to accept 39 of the most prevalent cryptocurrencies. Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), Litecoin (LTC), Zcash (ZEC), ChainLink (LINK), Orchid (OXT), Dai (DAI), Basic Attention Token (BAT), Amp (AMP), Compound (COMP), PAX Gold (PAXG), Ox (ZRX), Balancer (BAL), Curve (CRV), Decentraland (MANA), Kyber Network (KNC), Maker (MKR), Ren (REN), Storj (STORJ), Synthetix (SNX), UMA (UMA), Uniswap (UNI), Yearn.Finance (YFI), Aave (AAVE), Filecoin (FIL), Enjin Coin (ENJ), Bancor Network Token (BNT), 1inch (1INCH), Skale (SKL), The Graph (GRT), Loopring (LRC), Sandbox (SAND), Somnium Space (CUBE), BarnBridge (BOND), Sushi Swap (SUSHI), Injective Protocol (INJ), Livepeer (LPT), Dogecoin (DOGE)

Yes. It is lawful for a nonprofit to accept donations in the form of cryptocurrency. In March 2014, the IRS ruled that cryptocurrency is treated as property (or a non-cash asset) for tax purposes (IRS Notice 2014-21).

Engiven will immediately exchange your donated cryptocurrency for US Dollars at the current exchange rate. Then the proceeds will be deposited into Love the Nations bank account. Because Love the Natiopns does not directly trade in cryptocurrency, the organization will not hold any donated cryptocurrency for a potential rise in value.

Donors who provide an e-mail address will receive a PDF receipt from the Engiven platform. The receipt will include the type and number of coins donated, the date and time of the donation, the Love the Nations fund given to and other details. A formal year-end tax receipt will also be sent from Love the Nations to donors who provide their name and e-mail address. It will detail crypto donations along with donations of any other type made to Love the Nations during that calendar year. Donors will be notified by e-mail when the year-end tax receipt is sent, typically by mid-January. A formal year-end tax receipt cannot be made available to donors who choose to give anonymously because the IRS requires each receipt to be made out to a named individual or company with a tax ID number.

Yes. Your tax deduction will be equal to the fair market value of the donated cryptocurrency as determined by a qualified appraisal Since nonprofits are exempt from paying capital gains tax on the sale of assets, the full value of your cryptocurrency donation, along with your tax deduction, stays intact. For example, suppose you purchase cryptocurrency for $3,000. Then, by the time you make a donation, your crypto valuation is $11,000. Since your direct donation is a non-taxable event, the nonprofit receives the full value of your donation — $11,000. On the other hand, if you sold that cryptocurrency now valued at $11,000, you would pay $1,904 in capital gains tax (assuming a federal tax rate of 23.8% and no state or local taxes). Your donation of the after-tax proceeds would then be only $9,096.

For U.S. tax purposes, virtual currency transactions must be reported by the taxpayer, in U.S. dollars, at the fair market value on the date of the donation. If a virtual currency is listed on an exchange and the exchange rate is established by market supply and demand, the fair market value of the virtual currency is determined by converting the virtual currency into U.S. dollars at the exchange rate in a reasonable manner that is consistently applied.

As with credit card vendors, cryptocurrency processing vendors (in Love the Nations case, Engiven), differ in their fees. However, in most cases the fees associated with accepting and converting cryptocurrency are similar to those associated with processing credit card donations.