Rainforest Foundation US, a New York-based nonprofit NGO has integrated crypto and the blockchain to help save the Amazon forest. The foundation works in Central and South America and it aims to support anti-deforestation. The NGO reached out to the crypto and blockchain community on September 4 through a post on its site.
According to Rainforest Foundation US, it seeks to fight against forest fires and deforestation in Brazil. In its publication, the NGO said,
Since Bolsonaro took office in January, deforestation in the Brazilian Amazon is up 75% and forest fires in the Brazilian Amazon have doubled compared to the past year. As guardians of our rainforests, its animals and its people, we are working with The Giving Block to form a coalition of crypto sponsors, donors and media partners who will help stop this devastation.
The nonprofit disclosed that it would accept donations in bitcoin (BTC), ether (ETH), litecoin (LTC), and bitcoin cash (BCH). However, these are not the only options for crypto enthusiasts to show their love for forests. Per the post, the organization would accept donations in other crypto coins as well.
Integrating the Blockchain to Ensure Transparency
The Rainforest Foundation is reportedly working on a blockchain pilot to help ensure transparency. In so doing, it would let donors track the work it is doing in the Amazon rainforest. Also, it would offer the donors a chance to award crypto to communities that are protecting their forests.
Apart from trialing the blockchain, the foundation is also researching the use of smart contracts to curb illegal logging. Also, the NGO aims to use smart contracts to stop land trafficking and protect forests from gold mining.
The executive director of the Rainforest Foundation, Suzanne Pelletier said,
Business as usual has gotten us to this point. Philanthropy as usual won’t get us out. We need innovative solutions, and no one is more innovative than cryptocurrency users.
Explaining why it chose crypto donations, the foundation noted,
In the United States, and many other jurisdictions, cryptocurrencies are classified as property for tax purposes (like stocks). This means that when you donate appreciated crypto directly to a nonprofit, you don’t owe capital gains tax on those earnings, and neither does the nonprofit. You can donate more, and pay less in taxes. It’s that simple.
This news comes after a report unveiled that charitable organizations are increasingly adopting crypto and the blockchain. For instance, China’s Ministry of Civil Affairs (MCA) unveiled that it seeks to integrate the blockchain. According to MCA, adopting the blockchain would help it overhaul its charity tracking system.
The ministry said that it seeks to “explore the use of blockchain technology in charitable donations, charity tracking, transparent management”.
Do you think the Rainforest Foundation’s decision to use the blockchain and crypto will help curb forest fires? Let us know in the comments below.