Wikimedia Foundation Stops Accepting Crypto Donations
Wikipedia stopped accepting crypto donations after eight years of doing so, citing “issues of environmental sustainability” raised by the community as a key reason.
Wikimedia Foundation (WMF), the non-profit organization supporting Wikipedia and Wikimedia Commons, announced that it will no longer accept donations in cryptocurrency.
The proposal to remove the WMF’s use of cryptocurrency was first suggested on January 11. Wikipedia editor “Gamaliel” wrote:
“Accepting cryptocurrency makes a joke out of the WMF’s commitment to environmental sustainability.”
WMF started accepting crypto donations in 2014, which according to the foundation has consistently been the “least utilized methods of donating.” In fiscal year 2020-2021 Wikimedia received over $154 million in donations. 347 donors sent $130,100.94, or 0.08% of the total revenue, in cryptocurrencies, mostly Bitcoin.
TrueAnonyman wrote on April 9:
“The financial effect of no longer accepting crypto donations would be minimal, and far outweighed by the reputational harm to the Wikimedia project of being seen to endorse a technology so strongly tied to various environmental and social harms.”
Crypto donation proponents argued that the use of less energy-intensive cryptocurrencies such as those that run on proof-of-stake (PoS) consensus, could “provide safer ways to donate and engage in finance for people in oppressive countries.” They also pointed out that fiat currency has environmental sustainability issues too.
JusCurt posted on January 13:
“In 2014, Wikimedia took the step to take donations in crypto long before anyone knew it existed. We’re now approaching the 8th year since, and the only fundamental thing that has changed is its popularity. I don’t blame Wikimedia for that move as cleaner competitors simply did not exist as they do today, and the scale of transactions did not pose any environmental threat.”
The final decision was made on May 1, and The WMF closed its account on payment processor BitPay and disabled the ability to donate crypto. The WMF wrote in a statment:
“The Wikimedia Foundation will continue to monitor the evolution and discussion around cryptocurrency. These ongoing conversations represent a powerful example of how the Wikimedia movement engages in thoughtful debate, remains flexible and adapts in response to changing conditions.”
