New charity harnessing NFT crypto craze
A Uk-wide charity looking to support those affected by the Covid-19 pandemic has just debuted the auction of a non-fungible token (NFT), tapping into the cryptocurrency craze to raise funds for its launch.
Covid:aid, which has been set up by Scottish entrepreneur Michael Maclennan, is looking to launch in early May, and says it will be the first UK charity wholly dedicated to supporting people of any age affected by the Covid-19 pandemic across the country.
The charity’s online NFT auction has gone live, enablingthewinningbidder to gain the title of “world’s first charity-founding crypto-philanthropist”.
NFTS are cryptographic tokens that represent something unique, and you cannot exchange them for other cryptocurrencies or goods, like you can with money. The craze has been making headlines and hit a peak in recent weeks, with thevalueofcryptocurrency exchange Coinbase hitting almost $100 billion (£72bn) soonaftertrading.recently an art NFT sold for a record $69 million, Twitter founderandceojackdorseysold hisfirsttweetformorethan £2.9m, and an NFT of a New York Times article fetched $560,000.
Covid:aid’s NFT auction will run for 24 hours once a minimum bid of one ether – a unit of cryptocurrency currently worth just over £1,660 – is received. The charity will plough this initial investment into building and expanding the services it intends to offer. It also said that although othernftshavebeensoldwith proceedsgoingtonon-profit organisations,thisisthefirst one created and auctioned by a charity, and that will be directlycreditedaspartofits founding.