Cryptocurrency is a form of digital currency exchange that can be used instead of physical money or the use of credit and debit cards. Cryptocurrency uses cryptography, a method of protecting communication by using codes, meaning it’s near impossible to counterfeit cryptocurrency. There are more than 7,800 types of cryptocurrency in circulation, including Bitcoin, Ethereum and Litecoin. Due to its focus in the public eye, the value of cryptocurrency has increased significantly over the past several years. Cryptocurrency is void of different countries’ currency exchange and thus is worth the same value in each country, making it a great asset for individuals or organisations wanting to donate to a charity in another part of the world, after which the cryptocurrency can then be ‘converted’ to pounds, dollars etc. A large appeal of cryptocurrency is the fact that it can be traded in the way stock market investors buy and sell goods and commodities, as detailed by Forbes magazine.

Everyone can purchase cryptocurrency should they wish, and there has been a recent trend of people investing in cryptocurrency. The value of each cryptocurrency differs, depending on market demand, availability and any high profile supporters, such as Elon Musk, who has shone a large focus on cryptocurrency in recent years. Retailers, artists, travel agencies and hospitality giants are now adopting cryptocurrency, with Lush cosmetics, Dell, Expedia and Brewdog currently accepting cryptocurrency payments.

Cryptocurrency operates outside of government and central bank control. The creator of cryptocurrency classed it as a ‘peer-to-peer electronic cash system’, with the purpose of preventing banks and governments from tracking individuals’ spending habits. Like all forms of currency, cryptocurrency is open to future exploitation, which is why it’s extremely important to use secure cryptocurrency donation platforms and apps that accept cryptocurrency donations, in the same way you’d use a secure website to make purchases using your credit or debit card. A feature of cryptocurrency is that it can be donated anonymously, meaning you may not always be sure who has donated. This is why Action Tutoring has partnered with a secure and professional cryptocurrency platform that manages donors, donations and the cryptocurrency conversion process – The Giving Block. There has been concerns over the affect cryptocurrency has on the environment, with it requiring high computer processing to ‘mine’ the currency, however recent figures of influence, such as Twitter’s Founder and CEO, Jack Dorsey and Tesla’s Elon Musk, investing money and research into reducing the environmental impact cryptocurrency has. Some countries, such as Algeria and Morocco, have prohibited the use of cryptocurrencies, however many other countries in Europe, the United Kingdom and the Americas are using it more regularly.

Cryptocurrency is a fast growing form of currency and we recognise the fundraising opportunity this could open for Action Tutoring. With the economic impact Covid-19 has had, many individuals and businesses are starting to adopt this form of currency, and naturally charities are having to redress their fundraising efforts and avenues in light of the pandemic. We have consulted others who have worked with cryptocurrency and have partnered with a secure and credible crypto donation platform – The Giving Block – that specialise in supporting charities and non-profit organisations. Currently, only around 250 charities accept cryptocurrencies and most of these are US charities. This is a great opportunity for us to be an ‘early adopter’ of cryptocurrency as a UK charity, and could present us with great funding streams. For example, Newcastle upon Tyne based charity ‘Children’s Heart Unit Fund’, who also partner with The Giving Block, have received over £100,000 in cryptocurrency donations, providing evidence to the great support cryptocurrency can provide. Other UK based charities accept crypto donations, including RNLI, The Turing Trust and Sea Shepherd UK. We’re approaching cryptocurrency donations with care and consideration, using this year as a trial, after which we will evaluate the success of this new fundraising venture.

As a charity we have no plans of holding on to any cryptocurrency, and it will be immediately converted to GBP, all handled through our partnership with The Giving Block. Donations will then be used to support our work in general, including contributing to DBS checks for volunteers, the cost of printing and resources and access to online classrooms, amongst other programme and organisational running costs.

Cryptocurrency can be purchased in pounds and then used across select retailers, art outlets and hospitality providers.  It can also be used to make small or large donations to charities and not-for-profits. You can donate Bitcoin (BTC), Ethereum (ETH), Amp (AMP), Basic Attention Token (BAT), Bitcoin Cash (BCH), ChainLink (LINK), Dai (DAI), Dogecoin (DOGE), The Graph (GRT), Gemini Dollar (GUSD), Litecoin (LTC), Storj (STORJ), UMA (UMA), Zcash (ZEC), 0x (ZRX), 1inch (1INCH) to Action Tutoring via our  ‘Donate’ webpage, and can contact our dedicated Partnerships and Fundraising Manager, Hannah O’Neill, with any queries relating to cryptocurrency and donations in general.