COVID-19 pandemic has brought economic difficulties to the world and the poorest individuals are most hit. This is why organizations, firms and individuals are reaching out to those who need help.
Companies offering services related to cryptocurrency and some individuals in the cryptocurrency space have been trying their best to help those in need. For example, cryptocurrency companies like Binance, BitMEX and the Stellar Foundation have launched such initiatives.
Cryptocurrency exchange based in Mexico, Bitso, has collaborated with the crowdfunding platform Donadora towards the launch of a donation system based on cryptocurrency. The purpose of the platform is to help in gathering funds for the purchase of food for the most vulnerable families affected by the COVID-19 crisis.
On May 15, El Heraldo de México released a report which noted that every pantry delivered will be valued at 150 Mexican pesos, such that there will be sufficient food for feeding families of between four and six members for a week.
Cryptocurrency market participants are using cryptocurrency donations to obtain funds for the needy and this has become popular as a crowdfunding method. According to Bitso, cryptocurrency donations are a very efficient method for crowdfunding because of their decentralized nature and anyone worldwide has the opportunity for participation in the initiative.
With this platform, people can donate using both fiat currencies and a variety of cryptocurrencies, like Bitcoin (BTC), Ether (ETH) and XRP. After Bitso announced the initiative, the exchange noted that it is easy, fast, and secure to donate via cryptocurrency wallets; it takes seconds for transactions to reflect, thereby making it a quite transparent method to ensure the receipt of people’s donations.
As initiatives towards combating COVID-19 keeps rising in the cryptocurrency space, another crypto crowdfunding campaign was launched by the Italian Red Cross last month. The campaign was towards building an advanced medical post to fight COVID-19 in Italy and it was able to raise $10k in four weeks.