Charities in South Korea say crypto provides a simple way for donations. They want fewer steps and a system where people can donate crypto with one click inside exchange apps.
According to recent stats, South Korea has more than 10 million crypto investors and traders. The market is dominated by retail users trading Bitcoin, Ethereum, and stablecoins.
Korean charities started accepting crypto donations because it is more regulated in the country. The Community Chest of Korea, also known as Fruit of Love, is one of the charities that began accepting crypto donations, according to local media outlets.
Donating crypto is a complex process in South Korea
To donate crypto in Seoul, donors must go through six steps. First, they have to call the charity to say they want to donate.
Next, donors must fill out a form. The form asks for personal details, the reason for the donation, which crypto they are donating, and how much of that crypto they will give. There is no minimum or maximum amount.
After that, the charity reviews the donation. This is done to make sure the money is not illegal. If the donation is approved, the charity chooses a donation date and gives the donor a wallet address to send the coins.
But not every crypto and exchange is accepted. The selected crypto coin must be listed on at least three major Korean exchanges. Currently, there are five major crypto exchanges in the country, including Upbit, Bithumb, Korbit, Coinone, and Gopax.
Charities measure crypto donations in coins, not in won
Another issue that makes crypto donations complex is how donations are measured. Donors do not donate by value, like 100,000 Korean won worth of Bitcoin. Instead, they donate by coin amount, such as 0.01 BTC.
Once that number is set, it cannot be changed. If the price goes up or down, the donation value changes too. To change the amount, the donor must start the whole process again. This makes price swings a major risk.
After receiving the crypto, the charity sells it almost immediately. Large amounts may be sold in parts, but usually within two days. Donors receive a receipt, and the donation qualifies for tax deductions, just like a normal cash donation.
Even with these benefits, most people still sell their crypto and donate cash instead. It is faster and simpler. That is why direct crypto donations are rare in South Korea.
Last year, the Fruit of Love charity received 1 bitcoin in crypto donations. The Korean Red Cross and Seoul National University Hospital received 1 bitcoin in donations each from the same person.
In other countries, crypto donations are simpler and more common.
The United States began allowing Bitcoin donations for political purposes as early as 2014, and in 2024, crypto donations there reached about $688 million. Charities across Europe, including in France, have opened their doors to digital asset gifts, with more than 1,300 organizations now accepting crypto.
In the Middle East, Dubai charities have started accepting cryptocurrency donations under a new digital-asset giving framework. Major international nonprofits such as UNICEF and the Rainforest Foundation also accept crypto contributions globally.
One-click crypto donations are faster, and without them, crypto donations are likely to stay uncommon in South Korea.
If you’re reading this, you’re already ahead. Stay there with our newsletter.
Source: https://www.cryptopolitan.com/south-korean-charities-crypto-donations/
