The Clutha Appeal Fund, set up through the local authority with £20,000 of existing charity funds, will support anyone facing hardship as a result of the tragedy.
The council said it had received "generous offers of support" from across Glasgow, while First Minister Alex Salmond announced the Scottish Government would match-fund the local authority's contribution.
The city's Lord Provost, Sadie Docherty, said: "People have admired the courage shown by ordinary Glaswegians whose first instinct when tragedy struck was to run towards danger to help those in peril. Today, that desire to help is still strong and the Clutha Appeal Fund will give the city an opportunity to make sure the care, compassion and solidarity it has shown in the last few days continues.
"Glasgow is famous for its heart and its generosity and I am very proud, but not at all surprised, that so many people across the city want to help."
Comics Des Clarke, Bruce Morton and Janey Godley are supporting the appeal by performing at a special one-off show on December 22. The line-up for the fundraising event at the O2 Academy will also include two "very famous Glasgow funny men", organisers have said.
Event organiser Alan Anderson said: "Waking up to the horrible news about the Clutha Vaulta on Saturday was awful. It's such a legendary bar. Almost every Glaswegian will have sunk a pint there in there. Many comedians will have gigged there. It's an institution. Like many people I just wanted to do something to help. It made sense to organise a fundraising gig. As soon as I started asking for comedians to help I was inundated. We have the very best in Scottish comedy donating their time for free. We also some really, really big names coming forward."
Anyone directly affected by the crash who needs financial support can call 0141 287 0999. Donations can be made by calling 0141 287 7878 and paying by debit or credit card. Cash or cheques can be handed in to the council at 45 John Street, Glasgow G1 1JE and bank payments can be made to Clutha Appeal Fund, sort code 83-44-00, account 10804129.