Ether beat bitcoin as the most donated cryptocurrency for the first time in 2021, data shows


  • BTC-USD
    +9.70%
  • ETH-USD
GettyImages 974630854
A visual representation of the digital cryptocurrency, ether.Photo by S3studio/Getty Images

Ether beat bitcoin as the most-donated cryptocurrency in 2021 with $30.79 million in donation volume, according to data from The Giving Block, a crypto philanthropy platform for organizations and individuals.

Bitcoin — historically the crypto with the highest annual donation volume — came in second last year with $25.88 million.

Stablecoins were also gifted a lot, according to The Giving Block's year-end report released Wednesday. In sum, 85% of all donation volume was comprised of bitcoin, ether, and USD coin.

Cryptocurrency

Amount donated

Ethereum

$30,794,056

Bitcoin

$25,885,974

USD Coin

$4,739,117

Dai

$2,247,258

Flow

$1,407,000

The platform saw people donate more than 70 cryptos as more options were added throughout the year. For instance, meme token shiba inu was introduced in November and a month later was already the fourth-most donated crypto.

For the year, the total donation volume soared 1,558% compared to the previous year to $69.6 million. The average crypto donation size stood at $10,455, a 236% jump from 2020.

The platform attributed the increased giving to three factors: the crypto market's bull run performance, which resulted in the appreciation of many crypto assets; the diversity of assets donated, which reflected the evolution of the digital asset ecosystem; and the deadline to be eligible for the tax benefits of donating crypto.

Nonprofits also became more open to accepting digital assets. The Giving Block said more than 1,000 organizations were accepting cryptos by the end of 2021.

"Many nonprofits have looked to cryptocurrency as the next logical step in fundraising innovation," the report said. "For several organizations, crypto philanthropy addresses the more specific challenge of creating sustained, meaningful engagement with younger donors, and taps into a powerful tax incentive to donate."

Non-fungible token projects also donated $12.3 million in 2021, emerging as a major force in charitable crypto giving. One gift was valued at $3.5 million at the time of the donation, the report said.

Founded in 2018, The Giving Block is an organization that aims to promote crypto philanthropy. The platform currently enables more than 1,000 organizations, charities, universities, and faith-based organizations of all sizes to accept crypto donations.

Read the original article on Business Insider

Post a Comment

Previous Post Next Post

Contact Form