Blockchain will make a great contribution to donation payments
Charity is the way we, as individuals, can help improve our society for the better through the power of giving. By leveraging blockchain and crypto for philanthropic purposes, the technology has the potential to positively impact the charity sector in many ways.
Worldwide, it is estimated that there are 10 million non-governmental organizations (NGOs), and with this large number, fragmentation does exist. A better consensus among various charities tackling the same issues will create more efficient infrastructures in order to eradicate poverty and achieve desired global changes.
Blockchain will also allow charities to track and trace what other organizations are doing, allowing them to tailor campaigns to complement each other, leading to a greater philanthropic impact which can be better evaluated.
In 2017, a total of $410.02 billion was donated to charitable organizations with billions lost due to inefficiencies and corruption, leading to a huge distrust of the sector. Blockchain can provide radical transparency in donation tracking by providing assurance to individual donors who can track their donations and understand where and how their money is being spent by the intended beneficiaries. It will also bring about accountability from those at all levels in charitable organizations.
Blockchain and crypto will continue to have a revolutionary effect by presenting huge opportunities for how charities and beneficiaries interact. Charities, such as The Red Cross and Save the Children, have started to accept bitcoin donations, and it will be exciting to see whether others follow suit.