NFTs: Empowering artists and charities to embrace the digital movement

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Depending on who you ask, NFTs are either a new and exciting way to invest, or a bearish, highly hyped sector. Despite this, journalists, investors and collectors have paid a lot of attention to the growing NFT market over the past year. NFTs are one of the most popular Web 3 entry points, offering everyone from casual art fans to crypto billionaires the opportunity to own a unique asset stored on the blockchain.

As NFT Visionary recently pointed out, NFTs also have the potential to be used for incredible reasons beyond digital asset collection. Over the past six months, communities have launched NFTs to mobilize support for causes such as testicular cancer, human trafficking and the war in Ukraine. While many believe the NFT trend is finally on its way to sustainable growth, its potential as a tool for charity is poised to reach exciting new highs in the coming months.

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This mission-driven innovation is not a new concept for the crypto and web3 worlds. Metaverse World connects people who might have never met in the real world. Digital currencies and DeFi have created financial access and freedom for millions, if not billions, of people. In the closely related longevity space (the science behind a healthy, long human life), research advances are making it possible for people to live longer in their bodies comfortably. The world we live in now is very different from what it was five years ago – and it’s not stopping. The next element to be disrupted (or, in my view, upgraded) will be charitable donations via NFTs.

related: NFT Philanthropy Demonstrates New Ways to Give Back

showing your support

In the mid-2000s, we saw a trend where supporting your favorite causes became fashionable. Bright yellow Livestrong bracelets, WWF shirts and tote bags with the Charitable Foundation logo became an easy way for people to show the world that they care about a certain cause. While bumper stickers and printed water bottles are a common way for people to show their charitable side today, there is a dearth of high-quality, top-notch awards that provide equal visibility. When donors give to a charity, their contribution is generally recognized only with a “thank you” note and the opportunity to list their names on a commemorative plaque. It is definite proof, but it lacks the engagement and community that people find inspiring.

NFTs associated with Charitable Giving are making charity support fashionable in the digital world. The NFTs created by the charity have not only been developed with one cause in mind – they are also designed to be engaging and exciting. Buying a mission-driven NFT also offers a beautiful piece of digital art to show the world. With Instagram and Spotify moving to bring NFT functionality to their platforms, the future of NFT-powered donations looks like it will be increasingly social. Communities already on these social platforms are likely to rally around meaningful causes, as we saw the Twitter community help fund a member overwhelmed by high medical costs. The crypto community has proven itself to be a mighty force time and time again, making me believe in the bright future of NFTs and charities.

Artists and foundations benefit from NFTs

While much attention is paid to the latest celebrities joining the NFT craze and new drops with rare art, less is explored what buying NFTs actually means for a charitable organization. I mentioned earlier that it is time for the philanthropic sector to embrace the crypto wave, as the adoption of digital currencies and technologies such as NFTs could attract visionary investors to innovative ideas and new ways of looking at the world.

When these visionaries, or anyone else, buys a purpose-driven NFT, they have an opportunity to uniquely demonstrate their support for a cause. It is also important not to neglect the artist in these conversations. Creators are using NFT to redefine their relationship with supporters, including by encouraging their fans to support causes they care about. There is a common misconception that buying NFTs is a new way for investors to spend money.

Mission-driven NFTs are challenging this narrative by showing the world that NFTs are a way to unite charitable giving and supporting artists. They are allowing organizations to benefit from new technology while staying true to their mission and values. I believe longevity is one area that will see easy adoption of this technology. Longevity Supporters are forward-thinking publishers who also happen to be crypto enthusiasts – a perfect match to deliver related to NFTs. I hope we will see more on this soon.

related: While Men Wanted, Women Did: Empowering Female Creators With NFTs and Crypto

A new approach to charitable giving

In general, the phrase “charitable giving” has an element of “old school” philanthropy. It reminds me of writing a paper check sent through the mail to your favorite 501(c) 3. Of course, it still makes you feel good about supporting a cause, but it leaves a lot to be desired in terms of ongoing engagement. Building a community of innovation-focused and passionate supporters is an incredible way for charities to reach new audiences and achieve their fundraising goals. However, to make this a reality there will be a change in the way we think about giving.

In my opinion, the new charitable donation is crypto-native, social and decentralized. By accepting crypto donations directly, you can give your crypto directly to the foundation, without redeeming it and being subject to tax responsibilities. The social element of giving will empower you to highlight the causes you care about most through your NFT collection. And it will be truly decentralized, meaning anyone, anywhere in the world can support meaningful causes. While donor recognition dinners may be a thing of the past, a virtual network of connected supporters with diverse backgrounds and perspectives offers an exciting alternative future. NFT-based utilities are also an incredibly powerful tool to help communities track membership and reward contributions, along with access to special opportunities and services beyond just the delivery of digital images.

We are living longer, and are living in a more connected society than ever before. It follows that we should then be more helpful and benevolent – ​​but, in order to do so, we need to bring charitable donations into the fold.

The views, opinions and opinions expressed here are those of the author alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

gary zamudze LongeVC is a managing partner in a Switzerland and Cyprus-based venture capital firm spearheading innovative startups in biotech and longevity. He is a seasoned business expert and angel investor with many successful exits in biotech and tech companies. He is a longtime supporter and investor in biotech companies including Insilico Medicine, Deep Longevity and Bespause.