KarmaHub is something genuinely new — and we know you have questions. Browse the FAQ below, and if you don’t find what you’re looking for, reach out to us directly at info@karmahubvolunteers.org or through our social channels.
What is KarmaHub?
KarmaHub brings Volunteers, Nonprofit Organizations, and Businesses together in a new kind of ecosystem — one where every act of verified service generates real, tangible value for everyone involved.
Every hour you volunteer at a KarmaHub Certified 501(c)(3) Nonprofit earns you one Karma Token, worth around $10 in discounts at any KarmaHub Partner Business. Tokens can be redeemed for flights, food, hotels, concerts, and more — or gifted to others through the Karma Farm.
Businesses pledge 1% of their revenue or profits into the ecosystem. Nonprofits receive the volunteers and resources they need, plus an annual cash donation from the KarmaHub Volunteers Fund.
Good isn’t random anymore. It’s organized, measurable, and it compounds.
*Karma Tokens are anchored to the official minimum wage at the location of each KarmaHub Certified Volunteering Event.
What is KarmaHub’s mission?
KarmaHub’s mission is to recognize good people the way they’ve always deserved to be recognized — not just with a thank you, but with something real.
We believe the world isn’t as broken as it seems. There are more than 1.8 million nonprofit organizations operating in the United States right now, each pursuing a clearly defined mission for good. They’re feeding the hungry, housing the homeless, cleaning our oceans, and protecting the vulnerable. The problem has never been a shortage of goodwill. It’s been a shortage of organization.
KarmaHub exists to build the infrastructure that goodness has always deserved. Not to change human nature — human nature is already good. Just to give it a system worthy of it.
KarmaHub operates as two complementary entities, both rooted in the same mission. KarmaHub Volunteers Inc. is our nonprofit arm — the home of the core platform, the Karma Token mechanism, and the KarmaHub Volunteers Fund. It is registered in the State of New Jersey and operates with a nonprofit-first philosophy: the 1% transaction fee that flows through the ecosystem is revenue for the nonprofit, not a commercial enterprise. KarmaHub App LLC is our B-Corp bound commercial arm, housing the Heart Star brand, Kenny Karma, and KarmaFest. It exists to support the mission through brand-building and to provide a structure for any early-stage funding relationships. The two entities operate in formal partnership — because the mission and the brand are inseparable. We are currently in our pre-revenue, pre-launch phase and are actively building toward our Beta Test.
What is the Karma Farm and why is it important?
The Karma Farm is where giving goes further.
Think of it as crowdsourcing applied to volunteering. While redeeming your own Karma Tokens at a partner business is rewarding, passing them along to someone who needs them more is even better.
Through the Karma Farm, you can pool your tokens with others toward a shared goal — a Karma Cause. A group of friends can combine their hours to help someone fly home for the holidays. A community can rally behind a local nonprofit and help fund something on their wish list. You can even contribute anonymously if you choose — no spotlight required.
The collective power of the Karma Farm is practically unlimited. Every individual hour of service becomes part of something larger than any one person could create alone.
Are Karma Tokens a cryptocurrency?
Karma Tokens are not a cryptocurrency — they are coupons.
They are generated and verified using blockchain technology, but that’s where the similarity ends. Unlike crypto, Karma Tokens cannot be bought, sold, or traded speculatively. They are not an investment. They will not “go to the moon.” They can’t crash.
KarmaHub uses blockchain as a utility — to verify volunteer hours, track pledge fulfillment, and tell the story of each good deed from the moment it happens to the moment it’s redeemed. Every token carries a verified record of the act of service that created it.
The only way to earn a Karma Token is to show up. Not buy in. Not mine it. Not trade it. Show up.
Will joining KarmaHub cost me anything?
KarmaHub is completely free for Volunteers and Nonprofit Organizations. Always.
For Sponsor Businesses, there are no upfront costs. During the waitlist period, registration is obligation-free. Upon formal launch, Consumer-Facing Businesses pay a small processing fee of 1% of the value of each Karma Token redeemed at their point of sale. Non-Consumer-Facing Businesses pledge 1% of their annual profits as a cash donation to the KarmaHub Volunteers Fund.
In fact, if your nonprofit is in good standing in the KarmaHub Ecosystem, KarmaHub will donate dollars to you each year through the annual distribution of the KarmaHub Volunteers Fund.
How are Karma Tokens generated and what are they worth?
A Karma Token is generated each time a registered KarmaHub Volunteer completes and has certified one hour of volunteering at a KarmaHub Certified 501(c)(3) Nonprofit Organization.
Here’s how it works:
- The volunteer checks in to the event through the KarmaHub app with the nonprofit’s designated coordinator.
- At the end of the event, the volunteer checks out and the coordinator certifies their hours and rates their participation.
- Once all conditions are verified, the Karma Token is generated and added to the volunteer’s Karma Bank.
Each token is worth approximately $10 in discounts at any KarmaHub Partner Business, anchored to the official minimum wage at the physical location of the volunteering event. This means token values will naturally rise over time as minimum wages increase.
Tokens expire one year after their original generation date, so spend them, share them, or plant them in the Karma Farm.
How do I redeem a Karma Token?
When you’re ready to redeem, convert your Karma Tokens into a KarmaHub QR Code coupon through the app. Present the QR code at any participating partner business — in person at the point of sale, or online at checkout.
The discount is applied instantly. The tokens are then retired — they self-destruct upon redemption to prevent double use.
Tokens can be stacked for larger discounts, split across multiple redemptions, or gifted to others through the Karma Farm.
Can I give my Karma Tokens to someone else?
Yes — and this is one of the most powerful features of the KarmaHub Ecosystem.
Karma Tokens can be transferred to anyone within the ecosystem at any time, at no cost. You can give them directly to a friend or family member, or donate them to a Karma Cause through the Karma Farm, where they’ll be pooled with others toward a shared goal.
You can also contribute anonymously — your tokens count just the same, and your name stays private if you prefer.
Are there any restrictions on who can earn Karma Tokens?
Anyone may register as a KarmaHub Volunteer, however there are a few important disclosures required at sign-up:
- Criminal history: Volunteers must disclose any felony convictions. Volunteers with certain convictions may be ineligible to volunteer at specific organizations depending on the nature of the organization’s mission.
- Conflict of interest: Volunteers must disclose if they are a paid employee, director, or board member of any nonprofit organization. You cannot earn Karma Tokens by volunteering for an organization where you are employed or serve as a director.
These requirements exist to protect the integrity of the ecosystem and the trust of everyone in it.
How do I sign up as a volunteer?
Head to karmahub.app and join the waitlist as a Volunteer. It’s free, obligation-free, and takes just a few minutes.
When the platform launches, you’ll create a full profile including your name, location, volunteer interests, and availability. KarmaHub will then match you with opportunities at certified nonprofits near you that align with your skills and schedule.
In the meantime, we encourage you to share the waitlist with the nonprofits you already volunteer with — the more organizations that join, the sooner the ecosystem can launch.
What is the HeartStar volunteer journey?
As you give more through KarmaHub, your recognition within the community grows. Volunteers progress through a series of levels — from Newbie Volunteer through Rising Helper, Mission Leader, Community Builder, and ultimately HeartStar and Karma Legend.
These levels reflect not just the hours you’ve given, but the life you’re building as someone who shows up for others. The HeartStar is the highest expression of that commitment — the new rock star of the doing-good generation.
What are the requirements to join as a Nonprofit Organization?
During the Beta Test, KarmaHub Certified Nonprofits must be 501(c)(3) organizations operating in the United States that file IRS Form 990 (with some exceptions).
To register, organizations will need to provide:
- Organization logo or image (PNG or JPEG)
- Basic organizational information as it appears on IRS Form 1023
- Most recent IRS Form 990 (990, 990-N, 990-EZ, or equivalent) — made visible to volunteers in your directory listing for transparency
- An estimate of volunteer hours required in the coming 12 months
- Agreement to accurately verify and certify volunteer hours through the platform
- Agreement not to approve hours for volunteers who are paid employees or directors of your organization
International nonprofits and non-990 filing organizations will be welcomed in KarmaHub’s Phase Two launch.
What is the KarmaHub Volunteers Fund?
The KarmaHub Volunteers Fund is an annual cash distribution made directly to participating nonprofits — no applications, no committees, no strings attached.
The fund is built from two primary sources:
- Non-Consumer-Facing Businesses who pledge 1% of their annual profits as cash into the fund
- KarmaHub itself, which pledges a percentage of its own net profits into the fund each year as part of its philanthropic mission
At the end of each calendar year, the entire fund is distributed to participating nonprofits proportionally — based on the number of verified volunteer hours each organization generated versus all hours served across the entire KarmaHub Ecosystem that year.
For example: if there is $1 million in the fund and your organization generated 10% of all volunteer hours in the ecosystem that year, your organization receives a $100,000 cash donation.
The more good your organization facilitates, the more it receives. It’s that simple.
What types of businesses can participate in KarmaHub?
KarmaHub works for every type of business. There are three ways to participate:
- Consumer-Facing Businesses — retailers, restaurants, hotels, airlines, streaming services, sports teams, and any business that sells directly to the public
- Non-Consumer-Facing Businesses — manufacturers, banks, B2B brands, wholesalers, and businesses that do not sell directly to consumers
- Consumer-Facing Businesses that also need volunteers — sports franchises, concert venues, festivals, and live events that rely on volunteer staff
Each type has its own participation model, described below.
What is the 1% Pledge and how does it work?
The 1% Pledge is the entry requirement for all businesses in the KarmaHub Ecosystem. What that pledge looks like depends on your business type:
Consumer-Facing Businesses pledge 1% of their previous year’s revenue as discounts honored at their point of sale when a KarmaHub Volunteer presents a Karma Token QR code. This pledge is capped at 1% — you know your maximum commitment upfront.
Non-Consumer-Facing Businesses pledge 1% of their previous year’s pre-tax profits as a cash donation into the KarmaHub Volunteers Fund, distributed annually to participating nonprofits.
Both pledges are based on the previous year’s performance and require no upfront payment during the waitlist period.
How does KarmaHub work for a Consumer-Facing Business?
When a KarmaHub Volunteer visits your business and presents a Karma Token QR code at checkout, you honor the discount and KarmaHub charges a processing fee of 1% of the redeemed coupon value.
An example: A business generating $100,000 in annual revenue pledges up to $1,000 in discounts. If all $1,000 worth of coupons are redeemed across the year, the total processing fee paid to KarmaHub is $10.
Processing fees are batched and billed at the end of each calendar month.
Want to see a full transaction walkthrough? See how it works at Pete’s Pizza →
How does KarmaHub work for a Non-Consumer-Facing Business?
Non-Consumer-Facing Businesses pledge 1% of their annual pre-tax profits as a cash donation to the KarmaHub Volunteers Fund.
An example: A business generating $100,000 in annual profit pledges $1,000 into the fund. At year’s end, that $1,000 becomes part of the total fund distribution — allocated to nonprofits in proportion to the volunteer hours they generated.
Cash donations made to the KarmaHub Volunteers Fund may be tax deductible, as the funds are distributed to tax-exempt 501(c)(3) organizations. Tax laws vary by state — please consult your tax professional.
I’m a Consumer-Facing Business that also needs volunteers. How does that work?
Consumer-Facing Businesses that also need volunteers — sports teams, concert venues, festivals, and live events — are very welcome in the KarmaHub Ecosystem.
Like all Consumer-Facing Businesses, you take the standard 1% Pledge. In addition, volunteers who serve at your events earn a special internal version of Karma Tokens that are only redeemable at your organization’s own point of sale — not across the broader ecosystem.
For example: a sports franchise that recruits 50 volunteers per home game offers those volunteers tokens redeemable for discounts on tickets, merchandise, or concessions at their stadium only. If a volunteer gives 100 hours across a season, they receive the equivalent of $1,000 in discounts at that franchise.
Note 1: Karma Tokens generated through volunteering for a for-profit Consumer-Facing Business do not count toward the fulfillment of that business’s standard 1% Pledge.
Note 2: Labor laws vary by state. Consumer-Facing Businesses that use volunteers should consult local regulations before proceeding.
Can I pledge more than 1%?
Absolutely — and we encourage it. The 1% Pledge is the minimum entry requirement, not a ceiling.
Businesses are welcome to pledge 2%, 3%, or more. Consumer-Facing Businesses can also offer an additional flat discount to any registered KarmaHub Volunteer at their point of sale, beyond their standard pledge — for example, a permanent 10% off for any volunteer who presents their KarmaHub membership.
Generosity is always welcome here.
What information do I need to provide to register as a Sponsor Business?
During the waitlist period, all we need is your business’s basic information and your estimated 1% pledge amount based on your previous year’s revenue (Consumer-Facing) or profit (Non-Consumer-Facing).
By pre-registering, you also consent to KarmaHub using your business name, logo, and pledge amount in our Partner Directory and promotional materials. Your participation is part of the story.
KarmaHub does not require proof of income at registration. However, you are required to certify that the amount entered is accurate based on your previous year’s IRS submission. If fraud or manipulation is flagged, KarmaHub reserves the right to request supporting documentation, and failure to provide it may result in suspension or permanent removal from the platform.
Are there tax implications for my business?
Tax implications vary depending on your business type and participation model.
Consumer-Facing Businesses: Karma Tokens honored at your point of sale are treated as retail coupons. The value of redeemed coupons cannot be claimed as charitable donations. Sales tax is calculated on the pre-discount value of the purchase — not the post-discount amount.
For example: a customer’s subtotal is $100. They present a $20 Karma Token coupon. The customer pays $80, plus sales tax calculated on the original $100. At 7% tax, that’s $80 + $7 = $87 total.
Non-Consumer-Facing Businesses: Cash donations to the KarmaHub Volunteers Fund may be tax deductible, as the funds are distributed to tax-exempt 501(c)(3) organizations.
What is the KarmaHub Waitlist and why does it matter?
KarmaHub requires a full ecosystem to launch properly. For the platform to work — for volunteers to find opportunities, for tokens to be redeemed, for nonprofits to receive the hands they need — we need Volunteers, Nonprofits, and Businesses all in place before we open the doors.
That’s what the waitlist is building toward. Our Beta Test thresholds are:
- 1 million Volunteers
- 100 million available volunteer hours
- $1 billion in pledged discounts and donations from partner businesses
When we hit those thresholds, the Beta Test launches — and everyone on the waitlist gets early access. Volunteers on the Beta Test will be able to serve up to 100 hours each, giving everyone a wide range of ways to participate from day one.
How do I sign up?
Head to karmahub.app and pre-register as a Volunteer, Nonprofit Organization, or Sponsor Business. It’s free, obligation-free, and takes just a few minutes.
- Volunteers: Sign up and share! Bring your favorite nonprofits along — the more organizations that join, the sooner we launch.
- Nonprofits: Provide an estimate of your volunteer hour needs for the coming year.
- Businesses: Include your approximate 1% pledge amount based on last year’s revenue or profit.
When the ecosystem is ready, you’ll be first in.
Where is KarmaHub based?
KarmaHub operates as two entities, both registered in the State of New Jersey.
KarmaHub Volunteers Inc. is our nonprofit arm — the home of the core platform, the Karma Token ecosystem, the volunteer matching system, and the KarmaHub Volunteers Fund. We operate with a nonprofit-first philosophy and are currently in our pre-revenue, pre-launch phase.
KarmaHub App LLC is our B-Corp bound commercial arm, responsible for brand, marketing, and commercial properties including the Heart Star brand, Kenny Karma, and KarmaFest.
The platform will launch first in the United States before expanding internationally in Phase Two.
Will KarmaHub expand internationally?
Yes — international expansion is a core part of the KarmaHub vision. The US Beta Test launch comes first, establishing the model with domestic 501(c)(3) nonprofits and US-based businesses.
In Phase Two, KarmaHub will open to international nonprofits and businesses, with Karma Token values anchored to local minimum wages and purchasing power in each country. The moral weight of an hour of service is universal. The economic expression of it will be local.
What are KarmaHub’s trademarks and social channels?
The KarmaHub and KarmaHub Ecosystem logos are trademarked by KarmaHub App Inc. and KarmaHub Volunteers Inc.
Our official social channels:
Still have a question?
We’d love to hear from you. Reach us at [email protected] and we’ll get back to you as soon as we can.
You can also reach us through any of our social channels — Instagram, TikTok, Facebook, and LinkedIn.