The charitable organisation GiveCrypto have released figures for the latest phase of their ongoing operations in Venezuela. According to the report, more than 2000 people, in two separate locations, have benefited from automated payments while the organisation encouraged a number of local vendors to accept cryptocurrency in return for food and hygiene goods.
Happy Halloween. October’s report gives details on our first randomized controlled trial, post-program crypto usage and recipient spending patterns…..scary stuff. https://t.co/Q8dJX64h6r pic.twitter.com/WutG18ZSfO
— GiveCrypto.org (@givecrypto) October 31, 2019
With donations of over $120,000 in total being made during this trial period, GiveCrypto have analysed the spending patterns of recipients, identified technical and potential fraud issues, and reviewed the cryptocurrency adoption rates of previous participants on the program.
Empower People by Distributing Cryptocurrency
Founded last year by the Brian Armstrong, the CEO of Coinbase, and software engineer Joe Waltman, GiveCrypto’s stated mission is “…to financially empower people by distributing cryptocurrency globally.”
Although the organisation actively seek donations from the wider crypto-community, several generous contributions from industry notables such as Roger Ver and Brad Garlinghouse, alongside million dollar donations each from the founder Armstrong, Ripple’s Chris Larsen and Zcash’s Zooko Wilcox, meant GiveCrypto began life on a sound financial footing.
By using trusted local Venezuelan ambassadors, with on-the-ground knowledge of those who are in need, GiveCrypto distributes funds to enable people within the country to buy everyday necessities. Transparency of transactions are seen as key to maintaining integrity of the philanthropic system and funds going to both ambassador and beneficiary are monitored for possible fraudulent claims and clearly reported in GiveCrypto’s findings.
Measuring usage trends of cryptocurrency extends once each program ends by monitoring activity of the participating wallets. While GiveCrypto’s Executive Director Joe Waltman admits “…these numbers are not huge, it is encouraging that some percentage of the initial participants are still “using” their crypto wallets.”
With an intent to better understand the impact of the charity’s actions, GiveCrypto are formalising plans for a randomised controlled trial (RCT) for the next phase of the program. This is likely to include separating allocations of funds into four distinct forms, each consisting of around 700 people:
- Weekly crypto payments of $10 per week for 26 weeks.
- Up-front, lump-sum crypto payments of $260.
- Weekly cash payments of $10 worth of bolivars per week for 26 weeks.
- A control group that receives funds only when they complete a survey.
By adopting the RCT model GiveCrypto appear to be seeking the optimum means to distribute funds while ensuring the necessary learning curve for participants to safely transact in cryptocurrency is maintained.