Simply put, Blockchange is a platform that connects charities and their specific initiatives with donors through the use of crypto currency and NFTs. We then use gamification and tax incentives to drive a secondary market for the NFTs that benefits both the charity and the NFT buyers and sellers in a virtuous cycle.
Create & Launch
Blockchange works with our charity partners to decide on the optimal fundraising approach and the best way to tokenize their cause. In general, there are three types of Blockchange tokens, but we’re developing more every day:
- Token A: ‘Commemorative’ coin(s): an NFT minted coin that can be sold as a way to raise money for the charity and/or a specific event or moment in time (e.g., anniversary, milestone);
- Token B: Digital representations of real-world giving: NFTs that are minted to represent real-world items that donors can fund as part of specific initiatives, providing total transparency on exactly what a donor’s money is funding.
- Token C: Digital artwork / assets: NFTs minted of digital artwork or other creative assets that are donated to the charity for fundraising purposes. Note: it’s possible for the smart contract to include a royalty for the artist as well.
Buy & Experience
Blockchange mints the NFTs and makes them available on the open market. They are promoted by Blockchange and the charity to expand the universe of audiences and build excitement for the auction.
Blockchange leverages gamification and other rewards to create incentives to “collect” (i.e., donate) multiple NFTs for the same charity and/or across charities. This includes gaining access to special NFTs or other benefits on the Blockchange platform.
Once the NFT is purchased, it is owned by the buyer who will receive a tax deduction for their charitable contribution. The charity will receive the funds in crypto currency automatically and immediately.
Re-Sell & Connect
The original NFT buyer now has the opportunity to enter the secondary market to “sell” the NFT to anyone else who wants to support the charity or is otherwise incentivized to buy the NFT.
The magic of Blockchange is that as the NFT continues to circulate in the secondary market it generates additional donations for the charity and tax advantages to all buyers. The secondary market for NFTs is 4x larger than the primary market, creating a larger tax advantage for the buyer, creating larger funding bursts for the charity, and aligning the social good of the charity with the incentives of the open market, allowing all parties to benefit in all of the future sales of the NFT.
Unique Tax Advantage
- 100% of the purchase in the primary market is a charitable contribution, meaning the first buyer receives the tax advantage.
- Up to 50% of the purchase in the secondary market can be a charitable contribution, meaning the next buyer receives the tax advantage and the first buyer makes money from their initial donation.
- This continues through all future sales of the NFT.