Blockchain technology is a revolution — that belief is gaining momentum as this decentralized ledger technology continues to attract the masses. The revolutionary power of blockchain has been seen primarily in humanitarian activities.
From Ukraine and Syria to other parts of the globe, blockchain has played a significant role, especially in social good. This guide explores the various ways blockchain technology has helped enhance social good.
Key Examples of Blockchain for Social Good
Here are a few examples of how the blockchain world has performed for social good;
- Hala System — A collaboration between Hala System and Consensys led to the birth of solutions that help collect and store unalterable data about those impacted by the Syrian civil war.
- Project Unblocked Cash—To address the complexity of transferring aid in the regions of Vanuatu, Oxfam, Sempo, and Consensys launched Project Unblocked Cash, which connects disaster victims with cash aid faster.
- Ukraine Flag NFT—When Russia invaded Ukraine, NFTs, specifically the Ukraine Flag NFT, were created and raised over $6.75 million in a few days.
Environmental Conservation
It may be impossible to fathom how blockchain, a financial technology revolution, is changing environmental conservation methods. Blockchain and the crypto network, in general, have fallen prey to massive blame connected to their role in environmental degradation.
Take Bitcoin, for instance. The largest crypto network has been said to have a massive carbon footprint. A few years ago, some reports indicated that the electricity consumption of Bitcoin mining is more significant than that of many small countries.
The minting of NFTs has also been a big problem for many environmentalists.
However, blockchain can play a significant role in environmental conservation. Here are a few ways blockchain can help in environmental conservation:
- Transparent carbon emissions tracking—Blockchain enables the creation of decentralized ledgers that are capable of keeping accurate and verifiable carbon emissions data. These precise and immutable ledgers help bolster carbon credits’ integrity and streamline carbon trading processes.
- Environment data verification—Blockchain affords a home where people can trace and verify emissions data, carbon footprints, and sustainability metrics. This helps ensure high accountability.
- Conservation Biology — The decentralized nature of blockchain transforms how we look at environmental controls. There are no centralized controls or manipulations. As a result, conservation efforts are efficient.
- Protection of water rights — Blockchain ledgers and smart contracts can help manage water resources by autonomously collecting and allocating data.
- Forest conservation—Imagine a timber supply chain that geologically traces the timber’s origins and final destination. Such a supply chain can leverage a blockchain ledger to store real-time data and prevent illegal forest harvesting.
Blockchain in Health
The health industry is also a recipient of blockchain’s application for social good. Of course, the health industry is crippled with a vast array of issues, including improper patient data recording systems, fake health officers, and even medicine.
So, how can blockchain help in providing solutions? Here are a few ways:
- Patient records: Blockchain provides the health industry with proper protocols to store and share patient data. The ledger also makes the patient’s records highly confidential using hash functions only the patient or doctor can decode.
- Drug traceability and authenticity: Blockchain ensures drugs are traceable from the point of manufacture to the point of sale, ensuring patients access authentic drugs. The medical industry can guarantee users safe medicine by linking medications to IoT devices that constantly share GPS and other conditional reports on the blockchain.
- Clinical trials: Blockchain helps improve record keeping in clinical trials, making data easily traceable and incorruptible. Blockchain and smart contracts can also help improve patient recruitment processes for proper trials.
- Heal worker credentials: Blockchain tech helps patients trace the credentials of health workers to find the most reputable ones to work with. Patients will not fall prey to bogus doctors because their credentials and reputations are on a transparent ledger.
- Payments: Crypto tokens that are not geographically limited can revolutionize payment systems in the healthcare industry. Crypto tokens are easy to Certainly! Blockchain technology has emerged as a powerful tool in aiding refugees and displaced individuals.
The Patientory project has already proven revolutionary in the healthcare industry, especially regarding patient data management.
Patientory addresses the challenge of fragmented data by unifying patient data and making data accessible to authorized personnel.
Charity Refugees and Displaced People
Blockchain technology also holds massive potential, especially when dealing with refugees and internally displaced people. The refugee crisis is a puzzle that continues to rise among the most significant humanitarian problems, even in 2024.
According to a report by the United Nations High Commissioner for Refugees (UNHCR), over 339,000 children were born as refugees between 2018 and 2023. The report also points to over 117.3 million forcibly displaced people globally.
Of course, these rising numbers every year need to be accounted for. Not only that but there also needs to be a proper aid system to protect all these refugees. Blockchain technology can be vastly helpful in such situations.
Here’s how it contributes:
- Transparent aid distribution: The UNHCR leverages blockchain technology to provide digital IDs and wallets to displaced people. This helps ensure easy and transparent distribution of aid across the globe. The refugees can also control these digital identities.
- Direct disbursement of aid: With blockchain technology, refugees receive funds and aid directly into their wallets.
- Access to healthcare and education: During displacement, refugees can lose their healthcare and educational records and credentials. However, blockchain ledger technology, together with the power of smart contracts and NFTs, can enable the continuity of credentials.
- Global impact: Since blockchain is a decentralized ledger technology, it cannot be limited by geographical bounds. By leveraging blockchain, humanitarian efforts become more transparent, accountable, and efficient, strengthening support for vulnerable populations.
- Accountability and Traceability: UNHCR collaborated with Stellar Development Foundation to launch a payment solution in Ukraine.
Securing Sensitive Human Rights Data
Of course, tens, if not hundreds, of thousands of activists are fighting for different things, be it human rights or the environment. Their role in society cannot be underestimated.
However, in some cases, these human rights activists suffer rejection and attacks from those in power across different jurisdictions. But blockchain can help protect these activists. But how?
- Blockchain can safely store and encrypt all public records and prevent their deletion.
- Blockchain-based DNS and domains enable the creation of censorship-resistant web pages, making things easier for activists who face shutdowns from powerful regimes.
- Blockchain cryptography can help protect the identity of whistleblowers. Consider algorithms like Zero Knowledge Proofs.
- Blockchain also allows activists to access funds more easily, making it nearly impossible for evil regimes to block financial support.
Challenges of Blockchain in Social Impact
While blockchain plays a massive role, especially in social good, challenges still make its use complex. Among the key challenges include:
- As users and transaction volumes grow, blockchain efficiency is greatly affected. However, cryptographic algorithms have been developed to foster more scaling.
- Decentralized ledger technology also has technical complexities that may cause severe hurdles in adoption. However, some companies have more user-friendly and accessible tools to reduce the barriers to entry into blockchain.
- There is a lack of awareness. Many still don’t understand blockchain technology’s possible impact and benefits in different sectors. Unlike at any other time, education about blockchain technology is gaining importance.
Final Word
This guide examined blockchain technology and its impact on social good. You have now seen that blockchain’s role is not limited to money but includes different facets of humanity’s existence, including humanitarian benefits.
Health, environmental conservation, refugees, and activism are all parts of human existence that benefit vastly from blockchain technology.