Using blockchain and biometrics to provide direct aid to refugees
One of the most exciting use cases for blockchain in the social impact space is the ability to provide aid directly to those in need during humanitarian crises. I previously highlighted the work of RAHAT, a project that aims to provide aid directly to victims of humanitarian crises in Nepal via mobile-based blockchain tokens.
Today, I will highlight another program making use of blockchain technology to safely and efficiently provide aid directly to beneficiaries. Oh, and it also happens to be delivered by the worlds largest food security NGO, the United Nations’ World Food Programme (WFP).
Back in January of 2017, the WFP initiated a proof-of-concept project in Pakistan with the goal of testing the ability of a blockchain-based platform for authenticating and registering beneficiary transactions. The proof-of concept was a success, and they were able to distribute aid safely and efficiently to beneficiaries, without the need for a financial intermediary. Cutting out intermediaries is vital as it has the potential to drastically reduce transaction fees and speed up the delivery of the aid, ultimately delivering greater value to those in need.
Fast forward to today, and the Building Blocks platform has impacted hundreds of thousands, including those living in two refugee camps in Jordan. In these camps, 100,000 Syrian refugees now have the ability to purchase groceries using aid provided by the WFP by simply scanning their iris (yes, that’s right, their eye) at checkout. This program is built on a private, permissioned blockchain, and integrated with pre-existing biometrics’ technology utilized by the UNHCR, enabling them to easily keep track of every transaction for monitoring and evaluation purposes. The use of biometrics could be of concern to some when considering user privacy, but there are also great benefits to this approach.
This simple process enables beneficiaries to no longer worry about safely storing and keeping track of cash or food vouchers, so they needn’t stress about losing them or having them stolen. Furthermore, whereas other blockchain-based platforms for marginalized populations often require a mobile phone to receive or spend aid, Building Blocks does not, thus increasing accessibility for those most in need.
The WFP shares the story of Bassam, a Syrian Refugee in the Zaatari Refugee Camp, who has benefited greatly from this exciting innovation:
“A few times a month, Bassam shops for the ingredients he needs from a grocery store inside the camp. Because the store runs on blockchain, Bassam doesn’t worry about losing a food voucher or an external bank having his data — and he pays with an iris scan at checkout. Thanks to the close cooperation between WFP and the store’s owner, and feedback from shoppers through Building Blocks, Bassam can suggest which products he needs to cook meals from home for his children.”
What’s next for this exciting project?
Initial testing of the solution produced positive results indicating that this program can enable the WFP to safely and efficiently offer greater choice to beneficiaries over how and when they receive and spend their aid. According to the WFP, there are exciting plans to scale this program, including an extension of the value proposition of the program to “explore unrestricted cash inside the refugee camps in Jordan to explore how the platform can support wider unrestricted cash distributions, starting with mobile money inside the refugee camps.”
Looking forward to the future, there is certainly great potential for similar technologies to be used in a variety of social impact contexts. In a recent post, where I explored the use cases for blockchain in combatting climate change, I highlighted the value of having an efficient and reliable means of provide aid directly to victims of climate catastrophes. As the Earth continues to warm at a rapid pace, increasing the likelihood of more of these events, having a scalable blockchain-based solution for providing direct aid could be instrumental in ensuring humanity is able to adapt to a warming climate and protect the most vulnerable.
Another potential use case could involve providing direct aid to those experiencing homelessness. Individuals experiencing homelessness may not have a bank account, access to a phone, or a safe place to store cash or food vouchers. If a homeless-serving agency were to apply this technology, and form partnerships with essential providers such as grocery stores and supermarkets, it could be a game changer in enabling easy access to life’s essentials.
It is clear that this technology could be a game changer and revolutionize the way that aid is provided. I will certainly be keeping an eye on this project as it progresses and look forward to providing further updates in the future.
What do you think of this project? Do you agree that it could revolutionize the provision of aid? Is it scalable to other contexts? Tweet us at @Crypto_Altruism, we’d love to hear from you.
