Code is only half the answer to a software-enabled solution. Building a community is key to a successful open source project.
Blockchain offers the following advantages to the charity market:
- The open, public nature of the network data increases the organization’s accountability to the donors and reduces the the custodian-of-funds problem, where middle-men run off with money intended for charity.
- Cryptocurrency users are a new type of donor and onboarding new technology can be a great risk to non-profits.
- Improves workflow and efficiency, as it ensures an accurate and reliable channel for secure donations.
A non-profit’s primary goal is serving a cause, not developing software. For this reason, charities and non-profits turn to the private sector for innovation. Their markets necessitate giving middlemen access to funds intended for charity. This creates an accounting and transparency problem solved by blockchain. Using Heritage a charity can fundraise directly, or through a third party, and they are guaranteed no one can get between the donation and charity.
Each Heritage donation records a cause, donor Ethereum address, donation amount, and optional organizational tax information required to file taxable deductions as the data tracked for an ERC-721 non-fungible asset. Each donor builds a collection of their giving and social impact the way an investor builds a portfolio of assets.
This past June, A3 held an internal fundraiser prototyping Heritage to the benefit of local charities. Here are the charities we’ve worked with so far to make this happen:
Heritage is also supporting UNICEF’s blockchain hackathons taking place in UNICEF programme countries over the next year to engage and assist developers in emerging marketplaces.