Fidelity Charitable is now accepting bitcoin for funds supporting charities.
To add this capability, Fidelity Charitable worked with Fidelity Labs, a subsidiary of Fidelity Investments, and Coinbase, Inc. The charity funding management firm uses Coinbase’s conversion service, enabling companies to convert to bitcoin. The proceeds of the conversion are allocated to the individual’s donor-advised fund at Fidelity Charitable.
Matt Nash, SVP of donor engagement for Fidelity Charitable, explained:
Enabling donors to contribute bitcoin to their donor-advised funds is the latest example of Fidelity Charitable’s commitment to making it as easy as possible for donors to support the charities they care about with the assets at their disposal. There are many tax advantages to donating long-term appreciated assets, and that ultimately means more money to charity.
The majority of contributions to Fidelity Charitable are made in capital assets, such as publicly-traded securities as well as private business shares and real estate, which many nonprofits find costly, time-consuming or even nearly impossible to accept.
Donors who contribute the assets to a donor-advised fund simplify the donation for both themselves and the end-recipient charity. The donor can support multiple charities through one contribution and strategically plan their giving. The end-recipient charities receive grants from Fidelity Charitable via check or electronic funds transfer, which are often easier for the organizations to accept than the asset itself.