Blockchain-Based Donation Platform Helps Donors Secure Their Data
By Eden Stiffman
Senior Writer
July 8, 2020 | Read Time: 2 minutes
A new donation platform from charity evaluator BBB Wise Giving Alliance uses blockchain technology to let donors secure their personal data.
Launched July 4, GiveSafely aims to build trust in online giving — especially among younger donors — and address concerns people have about misuse of their personal data and potential hacks.
GiveSafely has no access to donations or donor data and doesn’t charge a transaction fee. All personal donor data is secured by blockchain technology and is passed on to the recipient charity only with the donor’s permission. Donors who opt to share their data are rewarded with “TrustTokens,” which unlock virtual charity experiences, such as a discussion of what it’s like to work at the selected charity. The creators of the new platform hope these experiences will tie younger donors to charities’ missions as a first step of building a deeper relationship.
“Even prior to the COVID-19 pandemic, charities were facing a wide variety of challenges in how their traditional fundraising model operated,” Art Taylor, president of BBB Wise Giving Alliance President, said in a statement. “We believe this new donation platform will help strengthen donor trust in charities while also providing a bridge to younger donors seeking new forms of engagement.”
Donors can only contribute to charities that meet the alliance’s 20 accreditation standards, which focus on issues like governance, results reporting, finances, fundraising, and the accuracy of the appeal. Save the Children, Easterseals, and the Physicians Committee for Responsible Medicine are among the early participants.
Cryptocurrency Gifts
Only 19 percent of people highly trust charities, according to a 2019 report produced by the alliance. Millennial and Generation Z donors are less likely to make donations than people who are older or less technologically savvy.
The new platform also lets cryptocurrency users make donations directly to charities. That feature is a response to a 2018 Edelman survey finding that 25 percent of wealthy millennials hold or use digital currencies, and 31 percent have expressed an interest in using them. Spurred by several high-profile cryptocurrency donations, some fundraisers have been teaching themselves about the digital assets — including how to accept them and how to tackle concerns around donor anonymity.
