Austin, Texas, Sept. 12 — Unchained, the world leader in Bitcoin financial services, has announced a partnership with University Impact (UI) set to transform the U.S. charity landscape through a new type of Bitcoin-native donor-advised fund (DAF) aimed at facilitating Bitcoin donations while ensuring charities receive their full value. 

The Power of Bitcoin-Native DAFs 

Unlike traditional DAFs, which require converting Bitcoin into U.S. dollars, Unchained and UI’s solution is unique in allowing a donation to be maintained in Bitcoin throughout the entire donation process. Donors can then choose to make Bitcoin (or converted cash) donations directly to charities ready to accept Bitcoin or hold it indefinitely on behalf of those that are not, allowing it to grow tax-free over time. This novel approach eliminates costly currency conversion fees, while enabling donors to contribute appreciated Bitcoin at full market value, while potentially benefiting from an immediate charitable deduction on their taxes, providing a more strategic way to enhance their philanthropic impact. 

“By harnessing the power of Bitcoin for charitable donations, we’re not only maximizing the financial benefits for donors but also amplifying the impact they can make on the causes they care about,” said Joe Kelly, Co-Founder and CEO of Unchained. “The new Bitcoin-native DAFs represent the most innovative application to date of Unchained’s collaborative custody solution, Connections, launched in July. This provides a flexible, tax-efficient way to give, all while leveraging the security of Unchained’s industry-leading multisignature vaults.” 

The Growing Role of Bitcoin in Philanthropy 

Philanthropic donations via cryptocurrencies, including Bitcoin, have steadily increased in recent years, with more than $2 billion in crypto donations reported worldwide since 2017. This number is expected to exceed $10 billion over the next decade. Furthermore, the U.S. is currently home to active donor-advised funds worth approximately $230 billion, illustrating the immense opportunity for growth within the sector.

Unchained and UI’s Bitcoin-native DAFs tap into this trend, empowering donors to make impactful contributions without the high fiat conversion costs and other inconveniences associated with traditional alternatives. 

Participating organizations set to benefit from the Bitcoin-native DAF include well-known names such as Save the Children, the Human Rights Foundation, and OpenSats, the recipient of Jack Dorsey’s $21 million donation in May. 

“Save the Children believes every child deserves human rights since our founding more than 100 years ago. As the world's first international NGO (Non-Governmental Organization) to accept a Bitcoin donation in 2013, innovation is part of our theory of change and thus we are excited about the potential of a Bitcoin DAF.” - Ettore Rossetti, Head Advisor, Save the Children 

A Secure, Transparent, and Tax-Efficient Way to Give 

Bitcoin-native DAFs are not only an innovative way to give, but they also leverage the security and transparency of Unchained’s industry-leading 2-of-3 multi-signature vaults, which currently safeguard over 98,000 Bitcoin for clients. With Connections, donors participate in the 2-of-3 setup, ensuring that donated Bitcoin remains securely on-chain and verifiable until it reaches its intended recipient - a level of transparency unheard of among traditional DAFs. 

Beyond its charitable benefits, Unchained and UI’s Bitcoin-native DAFs offer an important tool for financial planning, allowing donors to align their philanthropy with broader tax strategies, reducing their exposure to capital gains while maintaining long-term control over their Bitcoin holdings. 

For more information about Bitcoin-native Donor-Advised Funds or to get started, please visit: unchained.com/donor-advised-funds. Please note that Unchained does not provide tax or legal advice. This release has not been catered to the tax circumstances of any given individual, and may not be relied upon as tax advice. All tax questions should be directed to an attorney, CPA, or other tax advisor. 

About Unchained 

Founded in 2016 and currently safeguarding close to 100,000 Bitcoin for its clients, Unchained is a top 10 Bitcoin platform in the US by assets and has helped thousands of individuals and businesses truly own their wealth by holding Bitcoin keys. Unchained's collaborative custody model allows clients to access financial services while continuing to have the benefits of self-custody, the ultimate consumer protection in these uncertain times. For more information on Unchained, please visit unchained.com. 

About University Impact Charitable Advisors

UI Charitable Advisors is a leading provider of world-class charitable vehicles, such as Donor-Advised Funds, Fiscal Sponsorships and General Field of Interest Funds. The firm’s mission is to provide philanthropic expertise and align the objectives of individual donors, financial professionals and non-profit organizations. 

For media enquiries, please contact: 

Shimon Lazarov - shimon@unchained.com

Share this article
The link has been copied!