Increase your impact by donating Bitcoin or other cryptocurrency directly to charity. Compared with donating cash or selling your cryptocurrency and contributing the after-tax proceeds, you may potentially increase tax efficiency and the size of your charitable gift.
Eliminate capital gains taxes and the Medicare surtax, which combined could be up to 23.8%
Take an immediate income tax deduction in the amount of the full fair-market value* if you itemize your deductions
Maximize support to your favorite charities
*For contributions of complex or non-publicly traded assets, generally fair market value is determined by a qualified appraiser in compliance with the IRS.
When you contribute Bitcoin or other cryptocurrency directly to charity, the receiving organization gains full proceeds from the sale, and you potentially eliminate capital gains exposure. This win-win could mean more money for the causes you care about. Consider this potential savings example:
Original cost of Bitcoin $50,0001
Federal long-term capital gains rate 23.8%2
Value of Bitcoin: $350,0003
Capital gains and Medicare surtax paid on $300,000 (23.8%)
-$71,400
$0
Total contribution to charity
(after deducting federal taxes)
$278,600
$350,000
Additional amount dedicated to charity
+$71,400
Fidelity Charitable currently accepts Bitcoin, Ethereum, and Litecoin.
The value of Anna’s Bitcoin increased significantly since her initial investment several years ago.
Given recent market volatility, Anna wanted to leverage her digital currency for good.
By contributing her Bitcoin directly to Fidelity Charitable, she eliminated capital gains tax exposure and secured a charitable deduction based on the Bitcoin's fair market value. This savings enabled her to contribute more to her Giving Account than she would have if she sold the Bitcoin and donated the after-tax proceeds. As a result, she was able to recommend a multi-year grant to support young entrepreneurs in her community.
Start making a difference today by opening a Giving Account—no minimum required.
Fidelity Charitable currently accepts Bitcoin, Ethereum, and Litecoin.
As with any appreciated asset, capital gains tax is paid on any realized gains when cryptocurrency is sold. However, donating cryptocurrency directly to charity can potentially eliminate the capital gains tax. The donor may also be eligible for the secondary benefit of a tax deduction of the full fair market value of the asset as determined by an independent qualified appraisal.
To contribute certain cryptocurrencies, Fidelity Charitable requires a Cryptocurrency Letter of Understanding. Contact a Fidelity Charitable planning expert to process the contribution as additional special handling instructions may be required. Fidelity Charitable streamlines the gifting process from asset acceptance, receipting, and liquidating assets through select providers to fund the Giving Account.
Once Fidelity Charitable accepts a contribution, it is irrevocable. The asset is exclusively owned and controlled by Fidelity Charitable. Fidelity Charitable generally seeks to sell contributed property promptly, and will allocate the net proceeds to the Giving Account.
Fidelity Charitable accepts a wide range of financial assets, from cash and checks to stocks and even non-publicly traded assets.
Ready to get started?
Opening a Giving Account is fast and easy, and there is no minimum initial contribution.
Or call us at 800-262-6039
