Players Philanthropy Fund
6% pass-through
Mature, founder-friendly Model C program with a long track record and broad funder familiarity.
501(c)(3) in formation
Your gift is deductible
from the very first day.
HAND Protocol Foundation is a Texas nonprofit corporation with its 501(c)(3) application in preparation. While the IRS determination is pending, we plan to receive donations through an established fiscal sponsor, so every contribution is tax-deductible now, not someday. Here is exactly how that works, and how we step out of it once our own determination arrives.
The approach
A pass-through, not a parent.
We use what is called a Model C, pre-approved grant relationship. A fiscal sponsor that already holds 501(c)(3) status receives donations earmarked for HAND, then re-grants them to us under a written agreement. HAND stays a fully separate legal entity. We hold our own contracts, run our own programs, and own everything we build. The sponsor is a tax-deductible doorway, not a landlord.
Where your dollar goes
$100 donated · pass-through fee 6–7% · not drawn to scale
The fee covers the sponsor's accounting, compliance, and the donor receipts they issue on our behalf. We publish it as a separate line in our annual report during any sponsorship period. The sponsor honors your designation: a gift earmarked for a specific program reaches that program.
The arc
A bridge we intend to cross and leave behind.
Fiscal sponsorship is temporary by design. We expect to operate under it for roughly 12 to 18 months, from incorporation through the IRS determination, then transition donations directly to HAND.
Sponsorship period · ~12–18 months
Incorporate
Texas SOS · T0
File Form 1023
T0 + ~2–3 mo
IRS determination
T0 + ~12–18 mo
Direct giving
Exit sponsor
Timeline is illustrative; exact dates lock once incorporation is filed. The IRS grants exemption retroactively to our incorporation date, so the bridge period is covered either way.
Status: evaluating
Who we're considering.
We have not selected a sponsor yet. We are evaluating established Model C programs against a written set of criteria: low and transparent fees, a posture friendly to projects spinning out to their own 501(c)(3), and terms that protect the independence of the communities we serve. The candidates below are under review.
Hack Club Bank
7% pass-through
Open-source operations culture, transparent ledger, and native handling of crypto gifts.
Social Good Fund
6–8% + admin
Established California sponsor; currently weighing intake capacity against our timeline.
The exit
When we stand on our own.
The moment our IRS determination letter arrives and our own bank account is ready, we give the sponsor notice, transfer the remaining balance to HAND, and donations flow to us directly. We notify every donor of the transition and thank the sponsor publicly in that year's annual report. Gifts made through the sponsor stay deductible under their status; gifts after the switch are deductible under ours.