Launched in Fall of 2013, 501verify is a crowd based fund raising platform with over 6000 users currently. The company states that many of these users could not succeed in a traditional fund raising setting such as through bank loans or venture capital because of the unconventional nature of their proposition. 501verify seeks to address this area.
501verify campaigns comprise of Medical, Education, Faith based, Humanitarian, Social, Charitable, Veterans as well as other categories. It performs an array of services to cater to fund raising campaigns, according to the company.
- 501verify campaign submission is very simple process that can be executed seamlessly by anyone.
- Campaigners may submit a post which may be public or kept private.
- 501verify users can donate to a campaign utilizing Bitcoins, PayPal or green dot.
- After the submission process is completed, it may be shared on the users wall , to their friend , to a FB group, Twitter and/or LinkedIn.
- If the submission contains a BTC address, the system with create a QR-Code that will be present with the post and included shared post .
- This enables users to donate to the campaign by scanning the QR Code if he wishes.
- The platform is integrated into Facebook as an FB app, and the login system is facilitated by Facebook connect, says the company.
“At Playcoin Entertainment, one of our core values is transparency. By leveraging the power of Bitcoin and providing our users with multiple levels of verification, we can ensure that their bitcoin donations are being sent to a participating 501(c)(3) organization,” said Kevin Barnes, CEO of Playcoin Entertainment, in a dialogue with Lets Talk Payments.
- 501Verify is able to provide transparency by utilizing Bitcoin’s block chain technology.
- All bitcoin donation transactions are recorded on the block chain. The block chain is a global open checkbook where transactions are permanently recorded and constantly updated.
There are 2 urls for accessing the platform:
- If a user wishes to use the platform as a Facebook app then they can navigate to this link , the name of the app is 'Bitcoin'.
- The second url to access the platform is also connected to Facebook with FB app privileges and it handles most of the revenue capabilities.
- One of the revenue streams is a subscription that the company called verification (501 status vetting).
- 501verify charges 99.95 a year for this service as they may leverage their status to better their chances of success. This is the second service that the company provides.
- With over 1.3 million non profits in 501verify’s database to use as a vetting resource, the company enables a 501 organization to submit their information for verification including EIN in our system.
- Once they are verified, the organization may submit fund raising campaigns with a verified 501 logo present with their post.
- This measure re assures donors that the organization and it's submitted campaigns are legit thus reflecting in more donations to the campaign.
"We also enable donors to make tax deductible donations instantly with bitcoin to any of over 1.3 million 501(c)(3) charities. Our platform is compliant with U.S. Federal trade Commission,” states 501verify. “PACs may accept Bitcoin donations up to $100 worth with the use of one-time linked addresses that are provided to the potential donor after “best efforts” to verify their donor eligibility.”
On 4th June 2014, 501verify began a fundraising campaign on Indiegogo, with some interesting perks being offered to donors.