In recent years, the blockchain has gained huge popularity. Since 1991, when the idea of blockchain was born, no one could have imagined that it would be so much intertwined with our life and different spheres. Blockchain has already been successfully used in many areas:

  • payment,
  • charity,
  • protection from plagiarism,
  • including in healthcare. 

As we all know, the blockchain technology itself is a database that works in a decentralized manner and stores block chains with information about users and transactions. The blocks are interconnected and stored on the devices of each member of the network. The peculiarity of this network is that the user has a complete copy of this database. Thus, decentralized systems ensure not only anonymous transmission and transactions, but also the security of the entire network and each individual user from attacks, fraudulent actions and loss of their data. 

Blockchain technology is distinguished by its adaptability. It can be adjusted and implemented in socially significant areas (as in our case - charity, philanthropy). 

Why use blockchain in Charity?

Charitable organizations are often hindered by restrictions on receiving funds. "Crypto-philanthropy" is associated with the use of blockchain technology to circumvent this flaw. Relying on the properties of this technology, great opportunities for the rapid development of this area open up for charitable organizations due to the transparency of all operations, the participation of benefactors in the absence of territorial restrictions and the reduction of operating costs.

Cryptocurrency is the best way for payment non-profit organizations, from the tax-efficient point of view. 

Crypto-Philanthropy advantages:

  • Full transparency

All transactions can be tracked through the block chain. A higher level of transparency and accountability can help donors and encourage them to donate, as well as strengthen the reputation of the charity organization regarding their honest activities

  • Lack of geographical borders and decentralization

Decentralization makes the process of transferring funds faster and storing information safer. Since the absence of third parties makes the procedure unique and profitable. And globality makes it possible to conduct transactions anywhere in the world without additional taxes.

  • Digital agreements

Thanks to the blockchain, all data is not subject to change and is stored on blocks. Thus, everything becomes clear and every transaction or action is saved, which is very important in matters such as charity.

  • Cost reduction

The absence of intermediaries (since the system is decentralized) simplifies the management of charitable organizations. Blockchain technology automates individual parts of the process and reduces overall costs.

Examples of Crypto-Philanthropy

Some funds are already experimenting with the new technology and accepting donations in cryptocurrency. The activities of GiveCrypto.org, BitGive Foundation, and Alice SI. and NGOs such as Food for Life Global, Greenpeace, Save the Children, United Way are as transparent as possible, as the paths of financial flows can be easily traced due to blockchain.

Donations in cryptocurrency are already, one might say, yesterday in the USA. It's just another way of donating. Since 2018, The Giving Block platform has been operating in the USA, its mission is to maximize the facilitation of cryptocurrency fundraising for more than a thousand funds participating in the platform around the world.

Binance.charity:

The largest crypto exchange Binance has created its own charitable foundation and a platform for collecting donations in cryptocurrency. The project was named Binance.Charity. Users can donate any amount in cryptocurrency, and Binance will double it and direct it to solving socially significant problems. In 2020, the Binance Foundation.Charity has raised over $6 million to fight the coronavirus and more than $2 million to combat the effects of wildfires in Australia.

As more and more people around the world find out what blockchain is and become part of this world, charity becomes much easier and safer.

What do you remember about Charity & philanthropy in blockchain? Check yourself!
In what areas is blockchain used?
Charity
Cellular telephony
Psychology
Payment
When the Giving Block platform start operating?
2020
2021
2018
2015
What are the benefits of crypto-philanthropy?
Free calls
Reduced costs
Full transparency
Geo-affiliation
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