Cryptocurrencies are increasingly being used by hospitals to accept donations, but the method could present some risks. Market reported on December 14.
The value of bitcoin goes up and down, meaning charities have to hire advisers to guide them if they accept the donation, said Rick Cohen, director of communications and chief operating officer for the National Council of Nonprofits. Market.
William Luther, PhD, a professor of economics at Boca Raton-based Florida Atlantic University, said some are concerned about the environmental cost of bitcoin, as well as who the donors are, as bitcoin gifts may be anonymous. Some question whether bitcoin is "used by criminals and tax scammers, so a hospital that accepts bitcoins is subject to criticism," he said.
The Miami-based Nicklaus Children's Hospital Foundation recently started to accept cryptocurrency.
"We certainly want to meet all of our donors where they are," said Executive Director of Development Sara Jolly. Market.
The Cape Cod Healthcare Foundation, based in Hyannis, Massachusetts, also recently started taking bitcoin this year. When setting up an e-commerce wallet service to process a donation, the value of bitcoin fell and then rose again. In the end, the donation was worth 3 percent of the foundation's fundraising goal for 2021.
"We were sitting on pins and needles," said Chris Lawson, senior vice president and chief development officer for the foundation. Market.
