Bitcoin investors and users have now donated $22 million worth of the cryptocurrency to a charitable trust run by mutual fund giant Fidelity Investments so far in 2017.
According to new figures released by the company, Fidelity Charitable saw donations worth $11 million through November, a figure that has doubled since the start of the month, CNBC reports.
Matt Nash, senior vice president of donor engagement at Fidelity Charitable, credited the uptick to the “giving season” as well as the tax advantages of the donations, stating:
“People are getting smarter about donating appreciated assets, and bitcoin is the epitome of appreciated assets this year.”
The charity utilizes Coinbase’s payment processor tools to handle bitcoin-to-dollar conversions, and the converted cash is then deposited to the patrons’ “donor-advised funds.”
The report also hints at the psychology behind the giving, as cryptocurrency holders in the U.S. are required to pay capital gains taxes when exchanging their coins for dollars. Donating to charitable organizations, however, allows them to avoid those taxes.
The charity is accepting bitcoin donations until Dec. 22, Fidelity added.
Overall, the growth suggests a continued interest in the program, which Fidelity launched in Nov. 2015. Fidelity Charitable raised $7 million in bitcoin donations last year.
Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in Coinbase.
Small change image via Shutterstock
The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. Have breaking news or a story tip to send to our journalists? Contact us at [email protected].