Non-traditional Donation Sources: 4 Ways Your Church Can Accumulate Capital Value
How are others increasing the value of their donations?
We are seeing something of a trend in how today’s thriving churches are fundraising. Non-profit groups are looking at ways to accumulate capital value through non-traditional donation sources.
Save the Children is one example of a well-known organization that now accepts Crypto and NTFS. World Vision, Bethany International, People for the Ethical Treatment of Animals (PETA) also all accept Crypto donations.
For-profit groups are also accepting non-traditional forms of payment, and these digital financial transactions are becoming more common. Sotheby’s announced it will accept bitcoin and ether in the auction of Banksy’s “Love is in The Air.”
Four non-traditional donation sources to explore
What does all this tell us as church leaders? If anything, it’s that there is no better time to “think out of the box”. Let’s examine four avenues of funding that churches and pastors might want to consider:
1. NTFs
You may have heard about NTFs in the news, or even heard of folks creating NTFs. An NFT stands for “non-fungible token“. It is a digital asset built using the same programming as cryptocurrencies, such as Bitcoin or Ethereum. However, unlike crypto coins, an NTF represents real-world objects bought and sold online. This could be anything from digital art, to music, videos, content such as Tweets, or in-game items.
Around since 2014, NFTs are popular now to buy and sell digital artwork. CoinDesk reported that as much as $174 million has been spent on NFTs since November 2017. An NFT allows the buyer to own the original item, including built-in authentication as proof of ownership. Some groups such as Save the Children offer their donors to donate the proceeds from the sale of an NFT by first converting it to a cryptocurrency, then sending the donation to the cryptocurrency donation page.
2. Crypto
Many non-profits are also accepting Bitcoin and other cryptocurrency donations because they are one of the most tax-efficient ways to show support. The cryptocurrency community came up with many innovative ways to connect with donors. For example, Bitcoin Black Friday is a day dedicated to showcasing the Bitcoin marketplace.
Save the Children was also the first nonprofit beneficiary for Bitcoin Black Friday, back in 2013. Then there is #BitcoinTuesday, the biggest day for giving cryptocurrency to charity and organized by The Giving Block. In 2021, #BitcoinTuesday falls on November 30th. We at DonorWerx are also watching to see how many non-profits and churches will get on board with this big day and use it to grow donors. Check out our blog posts on other fundraising ideas you can implement today.
3. DogeCoin
We mention DogeCoin on this list another non-traditional donation source, mainly because the type of donors it attracts are often non-traditional folks. With Bitcoin, supporters are likely to be working for a big-name bank, or investing the traditional way. However, Dogecoin’s fanbase brings in a lot of people who do this kind of investing “for fun.”
They look for out-of-the-box ways to spend their money: sponsoring a Nascar driver, or sponsoring a bobsleigh team for the Olympics, for example. Minecraft’s creator, Notch, playfully revealed that his newest commercial game will see DogeCoin on its biggest platform yet. Meanwhile, in Salt Lake City, The LDS Church announced that it will now accept Dogecoin for tithing donations. They say church leaders have invested around 100 billion into Dogecoin so far, and they hope that tithing donations will bring in more.
4. Estate Planning
A legacy giving option is good for donors who are thinking of giving long-term support to the church. Perhaps your financial team can consider investing in real estate to have rental income later. Local businesses sometimes use church space as meeting rooms or for conferences, and this can be another avenue for funding. Look at estate planning to multiply your denominational funding streams. Perhaps you have donors who are not ready to give financial help in monetary value but would like to lend their real estate to the church.
Thinking of other ways to get support for the outreach programs involves understanding your donors and asking what they would be most comfortable with. Donors like to associate themselves with successful churches. This doesn’t mean you have to be a “rich” church, but it means that your missions should meet the goals that were intended. If due to lack of funds, you cannot survive as a church, donors and members are likely to look elsewhere for spiritual guidance.
How DonorWerx Can Help
If your church is having trouble meeting its financial needs, perhaps it’s time to explore these non-traditional avenues for donations. The first step, however, is understanding where you are at, and planning for the various milestones on your journey.
At DonorWerx, we focus on providing digital solutions to today’s churches so that they are better prepared. Contact us today for a discovery call and speak with one of our representatives to find out more.
