When you think of a charitable organization, what comes to mind? There will almost certainly be at least two main aspects: their cause and their donations. However, most charitable organizations are significantly more complicated than simply moving the money from Point A to B. Yet, most people only see this surface level, and likely only at the time they make a donation.
Current Problems in the Charity Space
What most people do not see is the end-to-end process of how the money they donate gets to its final destination. And, it is with disheartened sorrow that one comes to realize there are a great many sharp criticisms levied against such organizations when a deeper dive is taken.
Such criticisms can range from a general inefficiency, either in how the organization is run or how it gets the donations to their recipients, up to and including much more dire circumstances of corruption and fraud. When such organizations are subject to these malicious actors, the charity as a whole could fail both those donating and those in need.
Addressing Charity Problems with Blockchain
Public accountability is one of the highest-held qualities of blockchain. The technology uses its distributed ledger to record all movements of the information so that anyone with access can see them in a practically immutable record. In this case, that information happens to be financial transactions.
In practical use, a blockchain ledger would allow donors to track the donations each step of the way until they end up in the intended hands. This foundational principle inherent in the technology brings with it a level of accountability sorely needed in the charity space, and should be readily embraced by donors and any charity seeking to retain its public reputation and accountability.
Companies Using Blockchain in the Charity Space
BitGive, otherwise known as the BitGive Foundation, is a non-profit, charitable organization that allows donations to be made in Bitcoin. A key part of their mission statement is to bridge, as they put it, “the gap between an innovative technology and its practical applications for nonprofits and humanitarian work”. They use the technological capabilities of blockchain to promote transparency in charitable results and display this is real-time to their donors and the general public.
As blockchain technology continues to find successful use cases in specialized and niche industries, we at TraDove seek to unite these industries together in the B2B sphere. TraDove is developing its own proprietary B2B Blockchain Payment Network which utilizes a currency-pegged token to facilitate fair, secure and transparent B2B transactions around the world.