Denmark Considers Using Cryptocurrencies for Humanitarian Aid

World » EU | December 14, 2017, Thursday // 15:23| Views: | Comments: 0
  • Send to Kindle
Bulgaria: Denmark Considers Using Cryptocurrencies for Humanitarian Aid Източник: pixabay

Denmark sees potential for blockchain technology in humanitarian aid and said on Thursday it is considering becoming the first donor country to move money using cryptocurrencies, according to Reuters.

Blockchain is a ledger system tracking digital information, and among other advantages it can provide digitized contracts to avoid fraudulent land records, or enable faster and safer money transfers to emergency hot spots around the globe by using cryptocurrencies.

A report published by the Danish Foreign Ministry on Thursday, in collaboration with think tank Sustania and blockchain currency platform Coinify, investigates how blockchain technology might solve problems in providing development aid.

“Crypto and crisis is a perfect match, and aid organizations will undeniably be able to respond more quickly using blockchain-based digital money, which arrives at email-speed, safely and transparently,” said Marianne Haahr of Sustania.

Blockchain is still relatively immature and it might take time to develop trust, but some concrete initiatives are being developed. One of Europe’s biggest virtual currency platforms, Coinify, is working on using cryptocurrency payments to scale off-grid renewable energy.

“You will be able to pay with your cryptos directly into a solar panel situated in, for example, an African village and then you would not donate money but electricity,” Coinify’s CEO Mark Hojgaard told Reuters.

Another option could be an online hub where people would donate to single projects like schools, railroads or bridges. So-called smart contracts would ensure that the money went to its intended project.

“The money being donated goes into a program where you can only use it for bricks and mortar to build a bridge for example. Even if you try to buy a banana it will go back so you can seriously control the money flow,” Hojgaard said.

Blockchain could also be used for digitalized contracts, and some countries like India are already experimenting with blockchain to fight corruption when distributing land rights.

EU » Be a reporter: Write and send your article
Tags: cryptocurrencies, bitcoin, Denmark, humanitarian aid
Advertisement
Advertisement
Expats.bg All Are Welcome! Join Now!
Please, log in to post a comment.
» To the forumComments (0)
Bulgaria news Novinite.com (Sofia News Agency - www.sofianewsagency.com) is unique with being a real time news provider in English that informs its readers about the latest Bulgarian news. The editorial staff also publishes a daily online newspaper "Sofia Morning News." Novinite.com (Sofia News Agency - www.sofianewsagency.com) and Sofia Morning News publish the latest economic, political and cultural news that take place in Bulgaria. Foreign media analysis on Bulgaria and World News in Brief are also part of the web site and the online newspaper. News Bulgaria