Wikipedia has banned Bitcoin and Ethereum donations for the highly volatile crypto market
The decision by Wikipedia to stop accepting donations from users who use cryptocurrencies has been talked about in the digital world. The organization cited environmental issues as the main reason for its decision. It was announced on April 12, 2022. The decision to stop accepting donations was taken after several months of discussions.
The organization stated that accepting cryptocurrencies for donations has become an implicit endorsement of their various controversies and risks. It is also noted that it is an implicit endorsement of the technology widely regarded as predatory.
The decision by the Wikimedia Foundation followed a similar one made by the Mozilla Foundation. The two organizations cited the need to maintain their credibility to avoid potential damage caused by cryptocurrencies.
Aside from being harmful to the environment, cryptocurrencies have also gained widespread attention due to their energy-intensive nature. One of the main reasons Bitcoin has been criticized is its proof-of-work mode, which uses miners to contribute to the carbon footprint. On the other hand, Ethereum has been promising to make its environment-friendly proof of stake function more energy-efficient.
The Wikipedia Foundation explained that the decision to stop accepting donations from users who use cryptocurrencies resulted from the feedback from both the volunteers and the donors. In a referendum organized by the organization, over seventy percent of the members voted in support of the decision. However, some community members expressed their doubts about the decision and suggested that the organization could opt for other sustainable methods of funding its operations.
Although the referendum results were favorable, the organization decided to stop accepting donations from users who use cryptocurrencies. This was done to maintain its credibility and image.
Being a non-profit organization, the Wikipedia Foundation relies on donations to fund its operations. Although it accepts payments in cryptocurrencies, it converted the contributions into dollars in the past.
Although Bitcoin has dominated the cryptocurrency donations market, it only contributed a tiny portion of the total donations received by the organization. As a result, the foundation’s decision to stop accepting donations from users who use cryptocurrencies does not impact the organization financially.
An official of the organization noted that the decision to stop accepting donations from users who use cryptocurrencies was complex and could change depending on the community’s sentiment. As long as the presumption against cryptocurrencies remains strong, the foundation will not be able to support either Bitcoin or Ethereum.