In a bold move, a church on England’s south coast has decided to accept bitcoin donations, stirring discussions on the intersection of faith and modern finance. Claygate Church, located in Bournemouth, Southbourne, and Poole, has become one of the UK’s first churches to embrace this digital currency.
Sean Theunissen, an elder at the church, made it clear that the church’s core message remains unchanged despite this new venture. “Bitcoin is not the gospel 2.0 – the church will never move away from its central message,” he stated.
Bitcoin, as defined by the Cambridge Dictionary, is “a brand name for a type of cryptocurrency, a digital currency that is produced by a public network rather than any government, and uses special codes to keep it secret.” Its global usage is on the rise.
Theunissen further noted, “The Bible is always speaking against injustice, corruption and dodgy scales. From what I can see, Bitcoin is not on a trajectory towards evil. It seems to be trying to get rid of some of the corruptions in traditional monetary systems.”
The church, a part of the New Frontiers network, sees potential in digital currencies to enhance its international partnerships and streamline support for various projects.
Theunissen explained, “We’ve definitely had issues with intermediary banks getting in the way of things in the past. As Bitcoin grows, who knows, potentially it will help reduce delays in getting help where it’s needed most. We want to support projects going on in different places. It’s a relational thing, but there’s also money that goes alongside that.”
While Claygate Church is a pioneer in the UK, churches in the United States have been quicker to explore cryptocurrency donations. Pushpay, an online platform popular among US churches, includes stock and cryptocurrency giving as part of its services.
An article on a US pastors’ blogsite earlier this year advised churches to proceed with caution but noted the substantial opportunities for those willing to embrace cryptocurrency donations. It stated, “for churches willing to do the work, the opportunity is substantial – not merely financially, but in terms of reaching a generation that has too often felt the church had nothing for them.”
In the UK, however, churches are more cautious, partly due to differing charity and tax regulations. Fundraisers and church treasurers have expressed skepticism about the widespread adoption of cryptocurrencies in the short term. Nevertheless, a major UK online giving platform recently offered cryptocurrency donation options.
The Church of England is observing these developments closely. A spokesperson noted, “Although our national systems do not currently support Bitcoin donations, our priority remains providing secure, compliant, and trusted giving solutions.” They emphasized that any consideration of cryptocurrency must align with regulatory requirements and available resources.
Daniel Jones, Chief Purpose Officer of Stewardship, a UK-based giving platform, discussed the potential of cryptocurrencies for church donations. He said, “Churches have always adapted to new technologies that help them engage people and resource ministry. Cryptocurrency may prove to be another of those developments.”
Jones added that trustees and ministry leaders should consider practical factors such as valuation volatility and regulation when contemplating cryptocurrency donations. He advised caution, stating, “That also includes not falling into the trap or temptation of using it to circumvent systems and controls designed to protect them, their donors and their beneficiaries.”
The Charity Commission, responsible for UK charities, issued updated guidance in April 2023 concerning cryptocurrencies. Sam Jackson, Assistant Director of Policy at the Commission, explained the necessity for trustees to navigate new risks as charities move online and adopt new technologies like cryptocurrencies.
The Commission highlighted several risks associated with cryptocurrencies, including:
- The volatility of their value, which can change rapidly
- Potential fraud or theft by hackers
- Lack of protection compared to traditional currencies
- Varying laws on cryptoassets between countries
- Difficulty in tracing donors due to anonymous donations
- Limited acceptance by retailers
- Environmental impact of cryptoassets and blockchain technology
If churches or charities choose to accept cryptocurrencies despite these risks, the Charity Commission advises adopting a policy on managing cryptoassets, including conversion to traditional currency and compliance with UK regulations.
The Code of Fundraising Practice advises charities to understand how to handle crypto donations and seek professional advice if necessary. In the UK, the risks currently appear to outweigh the benefits for churches, especially given the constraints faced by volunteer treasurers.
This article was originally written by www.christiantoday.com
