How Blockchain Technology Can Help Solve Issues in Charity Donation?August 25, 2018
Just think a world where you can help any person in need, and you can help them with just a push of a button? That’s what blockchain tech has the potential to become.
Blockchain tech is making a new scheme for charities. It manages the huge amount of money, need complicated accounting and perform a lot of research, have much to get from blockchain as smart technology and digital transaction increases.
What are the Key Features of Blockchain?
- Integrating the digital and the physical. Blockchain tech offers a way to represent an asset in the digital space. It does this in a manner which ownership status can be determined at any point and be integrated completely with digital payment process at the same time.
- Establishing trust. Blockchain tech removes the necessity for third parties and creates transactions opens. Thus, it can provide major benefits in enhancing trust.
- Lessened transaction costs. Apart from building trust, the ledger is owned and managed by the user. That means there’s no need for intermediaries, hence lowering associated fees.
- Transparency. The ledger is public and can be viewed by any user. Any system sourced on it is completely transparent.
Smart Contracts for Donating
If traditional contracts require the third party to perform terms, smart contracts are designed to be independent and self-executing. They can initiate payment if specific conditions happen. Those contracts could establish massive support for worldwide charities that serve nations where dependable parties are difficult to find. Business could also utilize those contracts to reach pledges on their donations to charities.
Blockchain tech is by its nature transparent. Any user of the system can view exactly who owns what at any moment, and who has presented what to whom. Thus, when we talk about money, an individual donor can track their donation directly through a blockchain. That’s because cryptocurrency is non-fungible, meaning every piece is unique, so one piece can’t be swapped for another.
XinFin is an organization that’s on a mission to enhance the overall deficit in the global infrastructure through the blockchain technology. As a company, they’ve revolutionized the idea of the P2P transaction by utilizing community-driven digital assets through an open source blockchain platform.
The concept behind their initiative is to make the transactions more transparent and secure among the parties included in the cross-border trade. XinFin (XDCE) believes in building an ecosystem which will guide businesses to flourish without having to think about the troubles of the global fund transfers.
Trust must be the most vital element in charities. However, these days that appears not to be the case. Blockchain provides a real opportunity to show and improve trust.
The eradication of the need for intermediaries means that the new charities and non-profits organizations would no longer need to depend on other organizations like government bodies, lawyers, and banks in the same way.
To sum up, the benefits of blockchain technology in solving issues in charities can be massive. It can eradicate the middleman, get rid of corruption and most importantly, almost zero transaction cost.