Binance and The President’s Trust of Malta signed a Memorandum of Understanding on July 25th, in order to commemorate the decision to start implementing blockchain technology for their charitable work. World-renown goodwill ambassador and TedX speaker Helen Hai representing Binance and entrepreneur Michael Bianchi, a trustee of The President’s Trust, signed the memorandum. The main goals of this memorandum were to set commitment in place and to lead towards achieving three different goals:
- Empower youth and children, environmental, humanitarian, and sustainability issues, as a way to demonstrate the applicability of blockchain and to advocate the usefulness of the technology, when applied to social struggle.
- Generate awareness in the public for blockchain technology and the potential impact over society and the economy.
- Implement pilot projects and initiatives that use blockchain to solve local and regional issues, as a collaborative effort between Binance and Malta.
As a part of this agreement, Binance has already taken action towards establishing the infrastructure necessary to make these goals a fulfilled reality. They have started to incorporate the “Blockchain Charity Foundation” with a single vision in their mind, to empower the vulnerable communities around the world and increase the level of transparency for charity organizations.
Considering Binance’s sentiment towards quality, we expect them to push the envelope and set forth a new standard for the effectiveness of charities. Together with support from the Maltese President’s trust, they will have all of the necessary resources to facilitate great changes within Maltese communities.
Blockchain is a great tool for charity
Charity work is expensive, and we are not talking about the donations. Helena Wilkinson from the Guardian says that charities are organizations just like any other, and that includes a variety of commercial costs that are required to keep operations going. Just like any other company, they need to comply with laws and regulations, train employees (and volunteers), coordinate activities. The idea that charities can run on $0 organisation costs is a myth that needs to be debunked as soon as possible.
Blockchains, however, will make it possible to avoid many of the costs associated with keeping a charity afloat, while minimizing the amount of money that is being used in the actual organization. This means giving as much as possible to the communities for which money was raised in the first place. It means establishing a better filter that improves operations while actually keeping costs down to the minimum.
In the end, the purpose of charities is to actually help people, not finance charity organizations, but like we outlined above, they cannot really operate for free. They need either grants, or lower operations costs, and blockchain technology can help them acquire both.
Responsibilities towards the general public
Beyond Binance, even as the major player as they are, there are other significant contributors to the world-leading cryptocurrency business sector on the island. BitBay, one of the largest European exchange, and OKEx, a global financial service provider for digital assets exchanges and margin trading.
Following these developments, it is most likely that there will be many more blockchain companies hopping on the island due to promising legislative and governmental adoption of blockchain technology. Malta has created a competitive blockchain business environment, that attracted Binance, so that says something.
All of these companies joining the business environement on the island have to communicate their responsibility towards the general public and divest from their main activities to generate solutions for the public. Charity can come in many ways, and it doesn’t have to be financial. Effort, communication, and work can be invested to solve social issues by leveraging blockchain technology, and who better to do it other than successful and working blockchain businesses?
The President’s Trust and the @BinanceBCF will develop socio-economic projects in #Malta, to address social challenges. Moreover, #Blockchain technology will be used to increase efficiency, transparency and to measure the social impact of the respective projects. pic.twitter.com/0o4kcMUTF5
— Marie-Louise Coleiro (@presidentMT) July 25, 2018
What will this memorandum bring?
This memorandum is held up high as a beacon of hope for many people on the island. The amount of money that will be saved by implementing a blockchain solution means that more money will end up being used for actually solving the problems for which money is raised. There are a few rare problems that can’t be solved with more money, and education, providing basic needs, and addressing drug abuse is not one of them.
Helen Hai is happy to be addressing the most pressing global issues, as she believes this collaboration directly contributes to reaching the UN Agenda for 2030, and their goals. The leader of The President’s Trust, Sarah Borda Bondin, is appreciative of the increased level of transparency, control, and innovation that implementing blockchain solutions will bring to their organization.
Michael Bianchi, layed out the plan. Educ8, an educational social platform for empowering, informing, and inspiring youth will be the first pilot project as a result of this collaboration between Binance‘s charity foundation and Malta’s President’s Trust. Blockchains will be leveraged to save costs, develop the program sustainably, improve effectiveness, and increase control options.