It's another year of Thanksgiving, and encryption donations have become a new trend.

Written by: Rachel Wolfson

Compiled by: Chopper, Foresight News

Thanksgiving is an important milestone for charitable donations in the United States, marking the start of the generous season from the end of November to the end of the year. In 2025, a new trend is reshaping holiday philanthropy, with cryptocurrency donations experiencing explosive growth.

Benjamin Pousty, COO of the cryptocurrency donation platform The Giving Block, revealed to Cryptonews that the platform has processed nearly $100 million in cryptocurrency donations for thousands of non-profit organizations this year.

“This is our best year to date,” Pousty said, “Since launching in 2018, we have processed nearly $300 million in cryptocurrency donations, which is a significant milestone for the crypto charity movement.”

2025: A Breakthrough Year for Cryptocurrency Donations

Despite the current downturn in the cryptocurrency market, Pousty believes that the recent historical highs are a key driver of the surge in charitable donations this year.

“The cryptocurrency market has reached new highs in years. Historically, when asset values rise, charitable donations tend to increase as well,” he said.

For example, Bitcoin reached a historical peak of over $126,000 on October 6, 2025. Pousty pointed out that Bitcoin remains the largest donation asset received by the platform this year, followed closely by major stablecoins, including USDT, USDC, and Ripple's RLUSD.

“Donations for Ethereum, Ripple, and Solana remain active,” Pousty added.

Even though cryptocurrency prices continue to decline, Pousty pointed out that cryptocurrency donations during the holiday season see a spike every year. Donations in December alone account for nearly 30% of the annual total, which aligns with the overall trend of charitable donations, where donors tend to be more generous during the holiday season. Pousty expects that on December 2nd, “Crypto Giving Tuesday,” cryptocurrency donations will peak.

“This is the community edition of 'Giving Tuesday' for cryptocurrency,” he explained. “For The Giving Block, this marks the official launch of our major fundraising campaign, Crypto for Good. This initiative brings together donors, non-profits, and partners in the Web3 space to promote the spirit of generosity and encourage charitable donations through crypto assets.”

Annual Impact Areas of Cryptocurrency Donations

More and more non-profit organizations are beginning to support and accept cryptocurrency donations, indicating the real impact of such initiatives.

For example, Keith Grossman, the president of the cryptocurrency company Moonpay, told Cryptonews that he helped the nonprofit organization New York Cares launch a cryptocurrency donation program in 2021. As a board member of the organization, Grossman stated that cryptocurrency donations have brought tangible results to New York Cares, and 2025 is particularly significant for this largest volunteer network in New York City.

“This year, 16 cryptocurrency companies jointly donated over $400,000 to the Crypto for Good initiative, which supports Title I schools in New York City (Note: public schools in the U.S. that serve students from low-income families).” he said.

The event is also part of New York Cares' broad embrace of crypto innovation. “From Moonpay's perspective, we have integrated Helio (now rebranded as Moonpay Commerce) into New York Cares' official website to help process some donations,” Grossman explained.

In addition, The Giving Block's Crypto for Good report shows that cryptocurrency donations have yielded quantifiable results: by the end of 2025, thanks to cryptocurrency donations, 28.5 million children will have received food assistance, 357,000 people will have gained access to clean water, and 22,160 animals will have been rescued and rehabilitated.

Donors suggest funds to support the cryptocurrency community

Cryptocurrency donations are not only supporting traditional non-profit organizations but also injecting funds into the development of the cryptocurrency ecosystem.

Joe Kelly, co-founder and CEO of Unchained Capital, revealed to Cryptonews that the company launched the Bitcoin Legacy Project in April of this year, a charitable initiative aimed at strengthening the Bitcoin ecosystem.

“The initial commitment of the plan is 1 million dollars, and it plans to continuously expand the funding scale in the coming years. The project will directly support developers, educators, and advocates who promote the future development of Bitcoin,” Kelly said.

He explained that the “Bitcoin Legacy Program” is the first native Bitcoin Donor-Advised Fund (DAF) platform, allowing donors to support non-profit organizations aligned with Bitcoin's principles in a structured and tax-efficient manner.

To further support ecological development and incentivize donation behavior, Kelly pointed out that Unchained will provide a 1:1 matching grant for funds donated to partner organizations through its native Bitcoin DAF platform. Organizations such as the MIT Media Lab Digital Currency Initiative, the Human Rights Foundation, Open Sats, and Brink will receive grants of up to 1 Bitcoin through this program.

“DAF provides a simple and tax-efficient way for high-net-worth individuals and organizations to give back. Donors can contribute Bitcoin or other assets, receive immediate tax deductions, and keep the donated funds in the form of Bitcoin within the fund,” said DAF.

Donors can recommend funding to any non-profit organization in the United States that meets the 501 ©(3) criteria at any time, and the recipient can also choose to receive donations in the form of Bitcoin.

As part of this diversified initiative, the “Bitcoin Legacy Program” will fund six additional key initiatives in its first year, including three leading Bitcoin centers - the Bitcoin Parks in Nashville and Austin, as well as “The Space” in Denver. These centers will provide the essential infrastructure support for developers.

The advantages of cryptocurrency donations

In addition to supporting charitable causes they care about, cryptocurrency donations also have several tax advantages.

Pousty stated that cryptocurrency donations are usually more tax-efficient than selling appreciated assets, as donors can avoid capital gains tax while fully deducting the tax based on the fair market value of the assets.

For example, if a donor holds cryptocurrency for more than 12 months and the asset has appreciated in value, they can be completely exempt from capital gains tax after the donation. This is the main tax advantage and the core reason many donors choose cryptocurrency over cash donations.

In addition, cryptocurrencies can be transferred instantly across countries, meaning that non-profit organizations can receive funds more quickly in emergencies.

For example, shortly after Russia's invasion of Ukraine in 2022, the Ukrainian government created public cryptocurrency wallet addresses to receive various cryptocurrency donations, and millions of dollars in crypto assets have been used to support Ukraine-related relief efforts.

It is worth noting that cryptocurrency donations often attract a younger donor demographic, as millennials and Generation Z make up the majority of cryptocurrency users.

Challenges to pay attention to

Despite the significant advantages of cryptocurrency donations, some organizations and donors may still face certain challenges.

First, the volatility of cryptocurrencies can pose problems. If the value of the asset decreases and is not converted to dollars in a timely manner, the actual value of the donation will shrink. Additionally, in many jurisdictions, the tax treatment of cryptocurrency donations is different from that of cash, and the regulations regarding tax deductions, reporting, and compliance can be quite complex.

At the same time, accepting and processing cryptocurrency donations also requires corresponding infrastructure support. Platforms like The Giving Block work directly with non-profit organizations to ensure that cryptocurrency donations can be properly received and provide compliant reports for tax declarations.

Cryptocurrency donations continue to pour in

Despite the challenges, cryptocurrency donations may continue to grow in the future.

Pousty believes that cryptocurrency donations are gradually becoming an important form of donation alongside cash, and this trend is very clear. He added that with the widespread adoption of cryptocurrency, it is expected that cryptocurrency donations from high-net-worth individuals will increase, and the proportion of crypto assets in total charitable donations will steadily rise.

“With each cycle, we can see that donor behavior is becoming more mature, non-profit organizations are taking a more proactive approach, and partners within the industry are joining in to support mission-driven charitable efforts. We are moving towards a new future: cryptocurrency donations will become a standard component of modern philanthropy, just like stocks, donor-advised funds, and other non-cash assets,” Pousty said.