How NFTs Can Transform Charity Through Trust, Transparency and Technology

Before becoming a nonprofit CEO I spent 15 years working with large charities. When I started started Sostento the inspiration was to find radical new ways to create social impact and break free from risk adverse bureaucracies that lacked imagination.

This is why the more I learn about the NFT space, the more I see its potential as a revolutionary tool for a future of philanthropy that is more trustworthy, transparent, and community driven.

I’m not a holder of NFTs beyond a few from the world of NBA Top Shot, but I’m educating myself on the space daily. I’ve joined discords, talked to creators and explored projects with an open mind and curiosity.

My initial exploration has uncovered that successful NFT projects and effective philanthropy have some key overlapping core values.

• Transparency — Since NFTs live on the blockchain they have an inherent openness and accountability.
• Community — NFT projects create radical new connections and collective real world action through digital channels and beyond.
• Utility — To grow an NFT project requires real world benefit for the holder, and the best projects have additional generative utility created by the community itself.
• Generosity — An authentic spirit of charity and giving already emanates from most NFT projects and their communities.

All of this has my mind racing about the possibilities of what a nonprofit can do with NFTs. There are already hundreds of thousands of dollars worth of NFTs being donated to social good, but what lies beyond that? Could a nonprofit mint their own NFTs as a social impact token? Could NFTs and the blockchain be a way to transparently track who has donated, and engage them meaningfully in the work being done?

It’s exciting to consider what might come from collaboration between nonprofit leaders and top NFT thinkers. The resulting projects can convince skeptical onlookers that together we’re gonna make it.

Sostento is excited to engage with leading NFT voices for a Giving Tuesday (November 30th) NFT Charity Stream. Groups interested to engage can get in touch with our team by emailing info@sostento.org.

Visit www.sostento.org/momentsofimpact for more information about the event.