A new project is seeking to help charities combat an anticipated fall in revenue in 2020. GiveSafely, a trust-based donation platform that harnesses blockchain technology and digital tokens, has just been launched by the Better Business Bureau Wise Giving Alliance (BBB WGA) and national charity monitoring organization Give.org.
GiveSafely has been created to ensure that donations and donor data are sent directly to the intended charities. The platform itself has no access to donations or donor data, and receives no transaction fees.
Donate Using Fiat or Crypto
GiveSafely is the latest example of blockchain-based technology being used to introduce efficiencies in a legacy system.
"People will be able to make online donations to accredited charities using fiat or cryptocurrency and decide whether they pass on their personal information," explains Ezra Vazquez-D’Amico, manager of GiveSafely. "Should they decide to hand over personal information, they will be rewarded with TrustTokens. They will be able to use these TrustTokens to redeem rewards experiences with charities."
The Utility of TrustTokens
Within the GiveSafely ecosystem, TrustTokens can be redeemed for gifts and online experiences that combine a human element with a connection to the charity’s mission. The ambition is to further align the incentives of benefactors and charities, rather than the transaction being completely impersonal.
These 15-20 minute experiences include offers such as healthy cooking tips and a conversation about what it's like to work at the charity in question, as well as other dialogues linking the donor to the charity's mission. Although the utility of TrustTokens brings an extra dimension to the donor-charity relationship, the main USP of GiveSafely is two-fold: guaranteeing transparency and enabling crypto-based donations.
A Breakdown in Trust
Only one in five people highly trust charities according to the 2019 Donor Trust Report, and with 80.5% of BBB-accredited charities anticipating a fall in revenue in 2020, GiveSafely’s launch is timely. The platform uses a child-chain based on the Ardor multi-blockchain platform, and enables fast donations, in either crypto or fiat, directly to organizations such as Cure Alzheimer’s Fund, Save the Children, World Emergency Relief, RedRover and the Wild Animal Sanctuary. The only information saved on GiveSafely’s servers is usernames and the donor’s profile image – should they elect to use one.
Charities’ Growing Familiarity with Crypto
Other charities have expanded their use of cryptocurrency – and not just in terms of donations received. Last month, UNICEF announced that it would invest 125 ether (worth approximately $28,500) in eight companies from seven nations as part of its cryptocurrency fund (CryptoFund) created to address global challenges.
The 2019 Global NGO Technology Report also indicated that the number of charities accepting crypto donations has doubled across North America, Australia and Europe – and that was before numerous COVID-related initiatives sprung up. Major players such as BitMEX, Binance and the Stellar Foundation reached into their pockets during the pandemic, creating relief funds to purchase essential masks and medical supplies.
GiveSafely don’t just want to let donors pay using their preferred currency; they want to ensure trust in the process, with donors benefiting from the peace of mind that comes from knowing their funds are going where they are most needed.