Litecoin is one of the first open-source altcoins based on the original Bitcoin code. It was initially a strong competitor to the first cryptocurrency. However, as the cryptocurrency market expanded, Litecoin’s popularity gradually declined.
Cryptocurrency as a way of donations
According to the Nonprofit Tech for Good report, cryptocurrencies are becoming more popular thanks to donations. The number of organisations accepting charitable donations in this way has doubled compared to last year. But despite this growth, cryptocurrencies make up only 2% of all donations.
Most non-profit organisations accepting donations in cryptocurrency are in Africa (5%) and Asia (4%). The main problem lies in the fact that people do not understand how the technology works and how it will help recipients. Blockchain is best known in Africa — 17% of organisations surveyed.
One of the American non-governmental organisations, the Human Rights Foundation, seeks to change the situation and train employees of charitable foundations to work with blockchain by collaborating with developers. One of these specialists, Jimmy Song, teaches people how to start a wallet, exchange bitcoins or pay salaries to their employees. According to enthusiasts, cryptocurrency can give people freedom in an authoritarian government, because it cannot be confiscated like fiat.
For the same reason, fans of opposition political forces often make donations in Bitcoin or other cryptocurrencies. A striking example is the WikiLeaks website, which has collected $75,000 worth of donations in cryptocurrencies over the course of its work. Russian opposition leader Alexei Navalny received 91 million rubles in BTC donations during the election race.
Bill Gates and his wife Melinda's fund, which managed to raise $70 million in cryptocurrency, became the record holder for attracting cryptocurrency donations. And in 2017, an unknown owner of 5 thousand BTC donated to the Pineapple charity foundation. Famous Hollywood actor Ashton Kutcher donated $4 million in XRP to the Helen Wildlife Foundation. International organisations of the United Nations and UNICEF did not stand aside and attracted the gaming industry to participate in donations. The spiritual world appreciated the possibilities of blockchain technology churches and mosques in London, the USA, and Switzerland began to attract new money.
The main reason for using cryptocurrencies in donations is the absence of taxes. The second reason is that there is no need to pay bank fees or international transfers. Tracking the intended use of funds is much easier in cryptocurrency. This is a win-win scenario for both parties.
Accepting bitcoin donations is no more difficult than accepting bank transfers. It is enough to place the wallet address or QR code on the site. You can create a browser mining extension so that the received coins go to charity, as UNICEF did.
All this suggests that cryptocurrencies can be not only a speculative tool, but also a way to help.
