How The Finances Work

We are committed to our vision of raising $1billion for good causes. We believe that cryptocurrency can transform fundraising for charities and with it the lives of millions of people in need of support.

That’s why the Cudo Donate service requires zero investment for charities and you can start earning from day one. The cryptocurrency you acquire can be either be used as unrestricted currency to do with what you want or converted into fiat currency (pounds, dollars, euros, etc.) to pay for things the old fashioned way.

20% is used to invest in carbon credits to ensure the protection of the environment, ongoing development / running of Cudo Donate technology to benefit charities, promoting charities and bringing on donors. Any profits left are given back to charity.

Charity FAQs

How much does it cost?

As a Cudo Donate charity partner, it doesn’t cost you anything – unless you choose to mine in-house as well, in which case it is just your cost of electricity.

There are no sign up fees or subscriptions. We do, however, take 20% commission on the currency mined in order to pay for infrastructure, invest in the software to give you and your supporters the best product on the market, costs to acquire new funders for your charity and invest into carbon credits.

Any profits left are given back to the charities.

What is the cost versus return?

There are no setup fees, monthly retainers or management fees. So beyond the 20% fee to cover our costs, there isn’t any cost to you except the time it takes for someone in your organisation to run your account and to promote it on the website, newsletter or wherever you see fit.

As for your supporters the amount it costs them is just the additional cost of electricity:

  • The power and specification of their computer
  • How often they choose to have the application mine

This cost will vary depending on how old their hardware cost is and the value of the cryptocurrency market. For high end equipment the cost to the end user can be as little as 10%. Modern and medium spec hardware is usually profitable. For older equipment or lower spec equipment the cost can equal the same cost of the electricity. For some of this equipment it’s possible the cost of electricity is more than the amount generated.

We are bringing out a feature in the near future which will enable users to choose not to mine when it doesn’t cover the electricity cost.

How is cryptocurrency valued?

Cryptocurrencies are valued on a number of different factors; the most significant of which is supply and demand. Scarcity is a huge driver hence the high value of Bitcoin.

However, the price of cryptocurrency is also affected by the energy consumption required to mine, blockchain difficulty, how easy currency is to use and even public opinion and issues with certain governments.

How is cryptocurrency exchanged?

By default our platform currently pays out in Bitcoin. In the next few feature releases it will also pay in Pounds, Euros, Dollars and Gift Cards.

You can keep your balance in Bitcoin until the standard currency feature in in place or your cryptocurrency can be exchanged for the fiat currency (pounds, dollars, euros) using currency exchange websites and apps.

Some are more reputable than others. Transaction fees, as well as transparency of operation, are usually considered a good measure of how good the service is.

Some of the best exchanges are currently considered to be:

  • Coinbase
  • Coinsquare
  • Cex.io
  • Bitstamp
  • Coinmama
  • Kraken
  • Gemini

However you should research each of these for yourself and decide which exchange suits your organisation the best.

How do we obtain what’s donated?

We want to help you make a difference, and we can’t do that if we hang on to your crypto for days or weeks at a time. Besides, holding cryptocurrency isn’t like money in the bank; we wouldn’t earn interest for dragging our feet.

You can withdraw funds as and when you require and the figure is above 0.001BTC (less than £10). A future feature release in Q4 2018 will enable you to withdraw funds directly in Pounds, Euros, or Dollars.

How are we allowed to use the money?

However you want! The funds should be treated as standard donor funds. If you choose to keep it as cryptocurrency you can use it directly as cryptocurrency which means you can use it anywhere, for anything, providing whoever you deal with accepts crypto.

You are also free to exchange your cryptocurrency the moment it transfers to you, or hold on to it to sell on at a later date. It’s entirely up to you.

Is there a minimum/maximum that can be earned?

The minimum to withdraw the funds in 0.001 bitcoin which is less than £10. If your supporters don’t buy into this new way of raising funds then you won’t get any, it’s as simple as that.

The more supporters you have on board, the more we can mine. We will never cap your earning potential because that completely defeats the purpose of what we’re trying to achieve.

What is the rate of return?

It’s difficult to say definitively as the revenue you generate is based on how many of your supporters mine, how often they mine and how powerful their computers are.

A standard computer could generate £1-£30 a month. A high-spec PC could generate as much as £50-£300. A supporter can install it on more than one device and generate more.

It is down to the number of supporters that install the software. If you have 10,000 supporters who generate on average £10/m each that would bring in £100,000 per month of funding.

Supporter FAQs

How much does it cost?

If you install the Cudo Donate miner on your personal hardware, its completely free to use so it’ll only cost any extra electricity you use. The exact amount will vary depending on how often you mine, and the power of your computer. The higher spec the hardware the more power it can use. It will never use more power than 80-90% of its power supply rating so that is a good guess as an absolute maximum.

On older or lower spec hardware its possible for the cost of electricity to be the same as or sometimes more than the amount of funds generated for the charity. A new feature coming soon will enable you to select if you do not want the software to run if it is not generating more funds than it is costing in electricity.

Funding charities via Cudo Donate is substantially more efficient than many traditional funding methods.

How is cryptocurrency valued?

There are a host of factors which will affect the value of the crypto you mine; energy consumption, blockchain challenges and general popularity can all play their part.

Charities will no doubt ensure that they seek the best exchange rate, so you can rest assured that your donations will always make a difference.

How will the cryptocurrency be used?

Once the charities receive the currency you have helped to mine they are free to do with it what they want and use them as they would with any traditional funding, there are no restrictions.

Cryptocurrencies can be traded, kept, exchanged or spent with anyone who accepts crypto as a means of payment.

Typically they will be exchanged for traditional currencies of either pound, euro and dollar.

Is there a minimum/maximum that can be earned?

There is always a minimum which is zero. If you don’t turn your computer on, our software can’t mine – so the earning potential isn’t there.

The more you mine, the more you will raise for your chosen charity. We want you to raise as much as possible for good causes, so it wouldn’t make sense for us to cap your capacity to make a difference.

Why does my balance go up and down?

Have you wondered why the fiat balance in your Cudo application can go both up and down?

Over the past few months of beta testing, we have been asked this question on numerous occasions and thanks to your feedback we will be making improvements to the user experience.

Like fiat currencies such as the US dollar, cryptocurrencies are also subject to market fluctuations leading to the value of the coin against other fiat and cryptocurrencies regularly increasing and decreasing based on what they are being bought and sold for on the exchanges.

These fluctuations can be the result of a multitude of variables including current demand, trading volumes, holiday season, good press, bad press or other market trends. This is no different to any long-established FOREX or company stock trading market such as the NASDAQ or FTSE100.

Should you have your preferred display currency set as USD, then the total Bitcoin revenue within your pot will increase or decrease based on its current market trading value against the US dollar. However, the accrued Bitcoin balance within your Cudo account will only ever increase as you continue to use the application.

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