Cryptocurrencies often attract attention as speculative assets, but it’s some of their other implications that truly demonstrate their efficacy in the digital age. More specifically, cryptocurrencies can reorient philanthropy and charity work, directing resources to the most needed areas in the most efficient way possible.
This was on display this month when the Binance Charity Foundation announced that it was using blockchain technology to provide one million women with access to free sanitary products.
Please Note: This is a Press Release
The initiative is part of a strategic alliance that includes 47 companies that are collectively founding the Pink Care Token (PCAT), which will function as the first social-impact stablecoin issued on Binance Chain.
Commenting on the token’s launch, Binance CEO and co-founder, Changpeng Zhao (CZ), notes, “Pink Care Token is the first social-impact stablecoin issued on Binance Chain. A part of our mission is to promote cryptocurrency adoption, and I think charity is one of the most efficient ways to bring cryptocurrency value to more people.”
In doing so, the program is providing a critical service for women around the world while also redefining the potential for cryptocurrencies to disrupt philanthropy as effectively as they have realigned finance.
How It Works
To accomplish this goal, the Pink Care Token is a redemption-only token, which means that it is pegged to one year’s supply of sanitary pads rather than to a fiat currency.
The process is simple.
When the Pink Care Token goes live, people can donate money to the token, which can be exchanged for sanitary products, a process that will be underway in Uganda beginning in mid-July.
Binance is already familiar with Uganda, having started the Binace for Children initiative that strives to provide food, learning materials, and electricity to Ugandan students. Consequently, the company’s workers on the ground identified the need for modern sanitary pads.
Helen Hei, head of the Binance Charity Foundation, explains, “By forming the first alliance between cryptocurrency and traditional industry, we aim to deploy alliance’s strength to shape a brighter future of all human beings, especially the bottom billions.”
It’s estimated that 2.5 million women around the world don’t have access to sanitation products, something that can cause ostracization and cultural shame. With the Pink Care Token, anyone can use our most modern technology to eradicate a problem that has persisted for too long. Uganda is just the first place that these products will be distributed. The charity plans to expand its reach as resources become available.
The Impact on Crypto
Currently, 12.7 bitcoin ($140,000) has been donated to the project, which will provide an equal number of PCAT on Binance Chain.
What’s more, the project is garnering support from dozens of crypto projects that believe in the cause and the blockchain’s ability to improve upon the dilapidated states of charitable donations.
Recently, several charities have been exposed for inefficient or fraudulent use of donation funds. In contrast, the blockchain brings transparency and minimal transactions costs to provide timely services to those in need.
Even as this initiative is taking shape, it demonstrates a broader role that cryptocurrencies can play in today’s economy. They can serve as a global hub for philanthropic work that ensures the integrity of the projects while enabling them to focus as many resources as possible on the solution.
It may not be as headline-grabbing as the speculative component of crypto, but it’s definitely changing more lives for the better.