Did you know? Cryptocurrency is an excellent way to help vulnerable children and youth to thrive!
Cryptocurrency is not a new phenomenon; the most famous digital currency being BitCoin has been in circulation since 2008. Recently, ChildFund New Zealand has started accepting cryptocurrency as a way to create impact in communities around the world.
The future of philanthropy
ChildFund is committed to innovation and discovering new ways for Kiwis to support our work.
As the popularity of cryptocurrency continues to rise, we have prioritised these new opportunities, giving new generations of donors the chance to create long-lasting change for children and youth.
What is blockchain?
Blockchain is a list of records that are linked and can be managed by a peer-to-peer network therefore it is decentralised and is transparent through cryptographic hashing. An analogy is Google Doc or OneDrive file, when a document is created and shared, the document is distributed instead of copied or transferred. Everyone can access to the document at the same time.
What is cryptocurrency?
This is a currency that only exists digitally, that usually has no central issuing or regulating authority but instead uses a decentralized system to record transactions and manage the issuance of new units, and that relies on cryptography/blockchain algorithms to prevent counterfeiting and fraudulent transactions.
Why does ChildFund accept cryptocurrency?
ChildFund is committed to innovation and discovering new forms of income streams relevant to the market. We also found the charitable sector in New Zealand is relatively inexperienced with this channel and we therefore see this as a potential untapped market opportunity. Cryptocurrency holds several distinct advantages such as the ability to move money across borders faster, cheaper, and more securely. Cryptocurrency donations also have the ability to increase in value over time.
Are cryptocurrency donations anonymous?
Yes they can be anonymous, and we respect anonymity provided we meet the anti-money laundering criteria. However we do encourage donors to let us know their information so we can thank them and provide feedback on the impact their donations have created.
Is donating to ChildFund New Zealand safe and secure?
Yes, we shall convert cryptocurrency into fiat or traditional currency and remit overseas as soon as possible. This prevents theft of donation and a clear line of sight of conversion and remittance. A unique feature of cryptocurrency system is that all cryptocurrency transactions where funds flow from one’s wallet to another are publicly visible and available in a ledger, called the Blockchain.
What happens to the cryptocurrency once I've donated?
ChildFund will convert all cryptocurrency donations into fiat /USD/NZD. The donation will be used to help ChildFund programmes where needed most, unless otherwise specified.
Can I get a refund after I've donated cryptocurrency?
At ChildFund, we do not refund donations made in cryptocurrency. For more information, please contact us.
What about money laundering?
We seek advice from registered advisers should we receive major individual anonymous donations over a certain amount. We also have safeguards to monitor major donations, and we will keep monitoring the guidelines issued by FMA, IRD and other regulative bodies.