Yesterday, Brian Armstrong, the founder and CEO of our portfolio company Coinbase, announced the formation of a new non-profit called GiveCrypto.org.
Joanne and I are donating some of our Bitcoin to this charitable effort. Here is a list of the donors who have committed to give away some of their crypto assets to this effort.
So what is GiveCrypto.org all about?
Well it is basically an effort to take some of the crypto assets that folks like me bought a long time ago, that have appreciated a lot, and use them to address poverty around the world.
As Brian wrote in the announcement:
GiveCrypto.org is a nonprofit that will both hold and distribute crypto to those in need. It’s an evergreen structure, meaning it gives away less than the amount that the fund grows each year.
Cryptocurrency is unique in that it can be used to send small amounts of money anywhere in the world, in real-time directly to an individual in need — they just need a mobile device with an internet connection. With distribution of aid to foreign countries, high fees and corruption are unfortunately common; cryptocurrency is a way of circumventing both.
I believe three things will happen:
- Cashout to local currency: Some will exchange it to their local currency to buy what they need most in that moment. This is a great outcome because our primarily goal is simply to help people in need. We’ll need to help people find and connect with local exchanges to make this easier.
- Hold: The second thing they might do is hold onto the cryptocurrency. In this case they start to benefit from the future potential upside of this technology.
- Crypto-to-crypto transfers: Finally, if there is enough density in certain regions, we may be able to spark local crypto economies, where people start to transact with crypto-to-crypto payments, especially in places around the world going through financial crisis.
If you would like to learn more about this effort, you can do that here.
If you would like to give some of your crypto to this organization, you can do so here.
USV TEAM POSTS:
Albert Wenger — June 27, 2018
Uncertainty Wednesday: Updating (Beta Distribution)