Polkadot-based Teddy DAO seeks to attract philanthropic donors through Web3 education

At the crossroads of philanthropy and technology, Teddy DAO aims to introduce Web3 to traditional donors.

Polkadot (DOT)-based charity project Teddy DAO hopes to attract more traditional donors to its cause by promoting Web3 education.

To date, the initiative has raised about $14,000 in donations to support charitable causes, including those centered on child welfare, combating human trafficking, cancer research, and more.

In addition, the project will distribute 190 physical teddy bears to underprivileged children this year to fulfill the promise of donating a Teddy DAO NFT for each minted teddy bear.

Teddy DAO is a permanent NFT collection whose proceeds from the sale will be donated to charity. Donors to the project can enjoy tax benefits because the Teddy DAO Foundation has official charitable status with the Internal Revenue Service (IRS).

Attracting traditional donors

Despite the early social impact of the project, it has yet to effectively penetrate the traditional donor market. This may be partly due to the emerging nature of web3 technology, but it is still not widely understood by most donors.

While about 67% of U.S. households donate 3% of their income to charity, a 2022 poll by the Harvard Business Review revealed that nearly 50,000 of more than 70% claim not to know what web3 is. This poll shows that many people are unaware that they can use web3 spaces to support humanitarian causes.

Teddy DAO hopes to overcome this challenge by promoting the course’s Web3 education initiative, adding that its cause will be well supported when JustGiving begins rolling out the project to more than 450,000 charities within its network.

David Chapman, founder of Teddy DAO, told reporters that the project will launch an X Space education series called “Teddy Tuesdays” to introduce Web3 and the project to traditional donors.

Chapman added, "Our main goal is to educate traditional philanthropic donors and make Teddy DAO a gateway into the Web3 world. ”

5% of NFT royalties goes to the Ministry of Finance

Teddy DAO revealed that a 5% royalty structure will be implemented when creating a secondary market for its NFTs. Royalties will be held in the project’s vault, and its DAO members can vote quarterly on how to distribute the funds to charities in the foundation’s vault.

At the same time, Teddy DAO reaffirms its commitment to energy efficiency in its philanthropy. The platform emphasizes that Polkadot was chosen because of blockchain’s admittedly small carbon footprint.