Tamperproof donations on-chain
DigiDonate
An innovative and technologically advanced blockchain-based donations platform, where charities and non-profit organizations are able to tap into the immense potential of blockchain technology and benefit from its decentralized nature.
What is DigiDonate?
DigiDonate is the first dApp by DigiDoc in their series of decentralised applications which forms an ecosystem of tools to disrupt the charity / fundraising industry.
DigiDonate is a blockchain based donations platform that allows donors to:
- Donate crypto and FIAT quickly and easily.
- Track their funds and projects they support in a transparent manner.
- Share their impact with the community.
- Participate in a sustainable, safe and highly secure ecosystem
- Unlike traditional charities where a large portion of the funds are required for administration purposes, DigiDonate ensures that a majority of the funds go directly to the cause in a transparent manner through decreasing administration overheads via the utilisation of blockchain infrastructure.
- In addition, DigiDonate allows donors to provide liquidity, stake and own limited edition DigiDoc Utilitarian NFTs and shares a percentage of profits with its ecosystem of users. This is called Social Impact Investing, and provides donors an avenue to earn rewards and make passive income, whilst making a positive impact for causes they care about.
Participate in a sustainable, safe and highly secure ecosystem
Our platform ensures the availability of accurate and up-to-date information, promoting trust and fostering donor confidence throughout the entire donation lifecycle. DigiDonate eradicates the need for traditional, paper-based record-keeping systems, thus drastically reducing the reliance on physical documents and offering a more eco-friendly alternative.
By embracing the transformative capabilities embedded within blockchain technology, DigiDonate empowers charities and non-profits to allocate more resources towards their core missions, rather than expending substantial amounts on cumbersome administrative tasks.
Through the elimination of costly middlemen and intermediaries, our platform streamlines the donation process, allowing for greater financial efficiency and impact.
Transparent
Public blockchains are transparent and open for anyone to see. This means that anyone can audit the blockchain and detect any unethical practices or fraudulent behaviour.
Borderless
Cost-Effective
Traditional cross-border payments often involve high transaction fees, currency conversion fees, and delays due to intermediaries.
Tamperproof
The records on a blockchain are immutable, meaning that once a record is added, it cannot be altered or deleted. This makes it difficult for cybercriminals to tamper with the data on the blockchain.
Fast & Secure
Ease of access
Blockchain-based donations are accessible to anyone with an internet connection, regardless of their location or the traditional banking infrastructure in their country.
why charitable donations?
At its core, the charitable donations industry is focused on raising funds from donors, which can include individuals, corporations, foundations, and government entities. These funds are then distributed to non-profit organisations and charities that provide services and support to individuals, communities, and causes in need.
The charitable donations industry includes a variety of different giving mechanisms, such as direct donations, recurring giving programs, bequests, donor-advised funds, and more.
It also encompasses a wide range of organisations, from large international non-profits to small community-based charities, all of which have unique missions and programs to address different social issues.
Overall, the charitable donations industry plays an important role in addressing some of the most pressing social and environmental challenges of our time.
It is driven by the collective desire of individuals and organisations to create positive change in the world and to support those in need.
Market Overview
- Monetary donations equate to approximately US$550 billion globally each year.
- More people than ever reported donating to a charity in 2021, rising to more than one in three (35%) individuals around the world.
- Top 10 countries for donating money by participation in 2021 – Indonesia, Myanmar, Netherlands, Iceland, United Kingdom, Australia, Malta, Thailand, United States of America and New Zealand.
GIVING ACTIVITIES
- Individual giving: Donations made by individuals, such as cash or in-kind donations, as well as recurring donations through direct debits, workplace giving programs, and online platforms.
- Corporate giving: Donations made by businesses and corporations, often through corporate social responsibility programs or charitable foundations.
- Foundations: Private foundations, community foundations, and family foundations, which provide grants and funding to non-profit organisations and charitable causes.
- Donor-advised funds: Philanthropic accounts established by individuals or organisations to support charitable causes over time, often managed by a public charity or financial institution.
- Bequests: Donations made through a will or other estate planning mechanisms, which provide support for charitable causes after an individual’s death.
- In-kind donations: Non-monetary donations of goods or services, such as food, clothing, and volunteer time.
- Fundraising events: Events organised by non-profits and other organisations to raise funds for charitable causes, such as charity walks, galas and auctions.
New Donor Pool
- Digital asset owners are primarily young men, an elusive target for most fundraising strategies. This is a marked distinction from the demographics of traditional donors, who are usually older, married women.
- The geography of philanthropic donations similarly differs from the geography of crypto adoption. Crypto adoption is higher in Latin America and, in some cases African countries, which do not see high levels of donations.
- Emerging data suggests that digital asset owners are more generous than cash donors. The Giving Block notes the average donation size for those giving digital assets in 2021 was 82x the average online one-off cash donation over the same period ($10,455 for digital assets versus $128 for cash donations).
- Emerging indications suggest that digital asset donors disproportionately support animal welfare and environmental causes. Data from The Giving Block show the three leading causes among digital asset donors in 2021 were education (23%), animals (18%), and the environment (14%). This likely reflects the demographics of digital asset ownership, in particular the over-representation of younger groups.
- Digital asset donors may aim to promote digital asset adoption as much as supporting particular causes and prioritise cause-agnostic funds.
Key problems businesses were aiming to solve in the charitable donations industry.
High administration cost
- High internal administration costs to manage donations (i.e. marketing, wages, billing, etc.)
- Many manual internal processes with limited automation
- Many intermediaries operating in the value chain (i.e. banks, etc.)
- Low % of funds actually reach the cause
- Paperwork required for verification process (i.e. KYC/KYB)
- Paper tax receipts for cash donations
- Paperwork required to set up direct debit or direct credit
- Use of cheques by businesses making large donations
Unethical practices & low transparency over the use of donated funds
- Low trust in the charity industry
- Charities creating sister companies to filter money through
- Greed of people running charities
- Fake charities being setup
- No digital or physical tracking of funds
- Charities moving to digital platforms but not public ledgers (to hide trail)
- Donor has no transparency of where the funds exactly go
- Low % of funds actually reach the cause
- Lives and problems are not always improved
- Stolen donation funds
- Increase downtime in donation platforms
- Increased data privacy concerns
- Manipulation of data and funds to cover money trail
- Donors disposable income has been eroded by inflation and cost of living
- Donors looking for new avenues to earn passive income
- Donors looking for avenues to donate a % of their profits instead of flat donations
High administration costs
- Automated Record-Keeping: Blockchain technology allows for automated and tamper-proof record-keeping. This means that records can be maintained without the need for manual entry and verification, reducing the need for administrative staff and paper records.
- Elimination of Intermediaries: Traditional record-keeping often requires intermediaries, such as banks or legal entities, to verify and process transactions. Blockchain eliminates the need for intermediaries, reducing administrative costs and the need for paper records. This includes lower transaction costs and the time taken for a payment to settle with the cause.
- Smart Contracts: Smart contracts are self-executing contracts that automatically enforce the terms of an agreement. This can eliminate the need for manual paperwork and reduce administrative costs.
- Digital Identity Verification: Blockchain technology can be used to verify digital identities, eliminating the need for paper documents such as passports or driver’s licenses.
- Transparency and Traceability: Blockchain technology provides transparency and traceability, allowing for real-time tracking of transactions and records. This reduces the need for physical records and can streamline administrative processes.
- Through the reduction administrative costs and paper usage, blockchain technology can increase efficiency and reduce the environmental impact of traditional record-keeping methods.
Unethical practices & low transparency over the use of donated funds
Provide a blockchain based donations platform that provides transparency over unethical practices by creating an immutable, auditable record of transactions and data. This can help to deter unethical behaviour in the charitable donations industry and increase accountability for those who engage in it. Blockchain technology provides:
- Traceability: The immutable nature of blockchain technology allows for a complete and transparent record of transactions. This means that it is difficult to alter or delete data once it has been recorded on the blockchain. As a result, transactions and other data can be easily traced, making it more difficult for bad actors to conceal their actions.
- Smart Contracts: Smart contracts are self-executing contracts with the terms of the agreement between donor and cause creators being directly written into lines of code. Smart contracts can be programmed to enforce ethical practices, ensuring that parties fulfil their obligations and commitments.
- Decentralization: Blockchain technology is decentralized, meaning that it is not controlled by a single entity. This makes it more difficult for bad actors to manipulate or censor the data on the blockchain.
- Public Blockchains: Public blockchains are transparent and open for anyone to see. This means that anyone can audit the blockchain and detect any unethical practices or fraudulent behaviour.
Increase in cybersecurity threats
Decentralization: Blockchain technology is decentralized, meaning that it is not controlled by a single entity. This makes it more difficult for hackers to breach the system, as there is no central point of failure.
Immutable Records: The records on a blockchain are immutable, meaning that once a record is added, it cannot be altered or deleted. This makes it difficult for cybercriminals to tamper with the data on the blockchain.
Cryptography: Blockchain technology uses advanced cryptographic techniques to secure the data on the blockchain. This makes it difficult for hackers to gain access to the data or alter it.
Consensus Mechanism: Blockchain technology uses a consensus mechanism to validate transactions and add them to the blockchain. This makes it difficult for malicious actors to manipulate the data on the blockchain.
Permissioned Access: Some blockchains are permissioned, meaning that only authorized users can access the data on the blockchain. This can prevent unauthorized access and reduce the risk of cyber attacks.
Inflation and erosion of donor disposable income
- Higher Liquidity: Liquidity pools increase the liquidity of a cryptocurrency by allowing users to trade it more easily. By providing a pool of assets, liquidity providers can increase the depth of the market and provide more efficient price discovery.
- Reduced Slippage: With higher liquidity, users can trade cryptocurrencies with reduced slippage. Slippage occurs when the price of a trade differs from the expected price, and it can be reduced by providing higher liquidity to the market.
- Passive Income: Staking allows users to earn passive income by holding their cryptocurrency in a staking pool. Users earn a return on their investment for contributing to the security and performance of the blockchain network.
- Incentivised Participation: Liquidity pools and staking incentivise users to participate in the network and contribute to its growth. This can help to create a more active and engaged community of users.
- Reduced Centralisation: Liquidity pools and staking can help to reduce centralisation in a blockchain network by distributing decision-making power and rewards to a larger group of users.
Overall, liquidity pools and staking with cryptocurrency can help to create a more efficient and robust market, while also providing financial incentives for users to participate in the network.
Donors find it slow and difficult to make donations or raise funds
- Sign-up and be verified quickly and easily
- Provides crypto and FIAT payments, as well as reoccurring payments
- Setup and connect a wallet
- Search, complete and track donations
- Make passive income and donate a share of the profits
- Create causes to raise funds and provide comprehensive updates
- Share their impact with the global community
Our Strengths
Advisory Board contains 10+ years in blockchain experience CTO has experience in developing security systems (for aircrafts) In-house legal experience in crypto legislation
Network of 65k of potential users who are actively engaged Ability to access capital quickly
Approved trademarks for DigiDoc
New partnerships and collaborations
Reduction in physical paper and carbon neutrality Growing market for NFT resale
New monetisation avenues for donors
Disaster stricken regions requiring instant monetary relief Helping family and friends during an unfortunate event
Business Drivers
Business drivers are the key inputs and activities that drive the operational and financial results of a business. During our workshops, we unpacked details of the DigiDonate value proposition and identified the following key business drivers.
increase
- traffic volume of donations transacted on DigiDoc platform
- liquidity pool to earn more profit
- customer experience by making it easier to donate online (Cryptocurrency & FIAT)
- transparency of the movement of funds for donors
- the staking of DDT tokens
- the sale of NFTs and limited edition NFTs
- usage of IPFS storage for original NFTs
reduce
- administrative overheads by utilising blockchain infrastructure
- downtime of the platform due to better security and monitoring
Macro-environmental factors that impact an organisation, industry or market
- The number of charities accepting digital assets increased from fewer than 100 in 2019 to over 1,000 by 2021.
- The Giving Block reports that in 2021, more than $12 million in digital asset donations through the platform came from gifts of NFTs. While this is clearly a very small portion of the total NFT market, it is more than 15% of the total digital asset donations processed by The Giving Block — as digital asset giving continues to evolve, NFTs might play a central role.
- The philanthropic response to the conflict in Ukraine has been significant, and digital assets have played an important role. The total value of crypto donations to the Ukraine has been estimated at $135 million. The Ukrainian government has also received more than 300 NFTs as donations, some of which raised significant funds.
- The growth in digital asset donations in 2021 was set to the backdrop of a crypto bull market. The previous spike in digital asset donations in 2018 was linked with an increase in the value of Bitcoin in 2017. Declines in the value of digital assets risk reversing the growth of digital asset donations.
- The majority of the new digital assets coming online are based on Proof-of- Stake (PoS) consensus. PoS is significantly more energy efficient as there is no need for intensive computing power to prove trustworthiness, and instead rely on the stake that each node posts to become eligible for voting. This is particularly of focus when fundraising for environmental causes.
Crypto-philanthropy stands to significantly increase transparency in philanthropic giving. Transparency allows donors to encode and enforce restrictions on the use of the donations that they provide, and this allows donors to accumulate even more power than traditional giving.
The radical transparency of digital asset transactions removes the requirement for trust between donors and recipients, which presents an opportunity in the context of declining trust in non-profit organisations.
Public perception and awareness of blockchain technology in the donations sector
Inflation limiting the disposable income of donors
Availability of funding and resources to develop and implement blockchain based donations platform
Fighting paper waste with NFT receipts
Digital identity certificates in the blockchain space (NFT)
Ease of access to funds directly through blockchain technology
Ready to invest in DigiDonate?
DigiDonate is the first dApp by DigiDoc in their series of decentralised applications which forms an ecosystem of tools to disrupt the charity / fundraising industry.
