The United Nations Refugee Agency (UNHCR) recently unveiled a blockchain payment solution for the distribution of digital cash to Ukrainians impacted by the ongoing Russian invasion in collaboration with the Stellar Development Foundation, a company that supports Stellar, the blockchain network.
In a statement issued on Dec. 15, 2022, the agency stated that it was among the first to pilot the new Stellar-based aid disbursement solution, alongside the United Nations International Computing Centre (UNICC). According to the refugee agency, using the Stellar-based cash disbursement system ensures that funds are transferred directly to the intended receiver in a timely, secure and efficient manner.
The program, which was intended for Ukraine, is being tested first in Lviv, Kyiv and Vinnytsia, three Ukrainian cities where the majority of residents fled after Russian missile attacks destroyed their homes. The funds will help some of the most disadvantaged and vulnerable individuals affected by the war by covering basic needs, such as housing rent, food, healthcare and winter heating.
According to the terms of the agreement, Ukrainians will receive the funds as USDC stablecoin, where one USNC is equal to $1. The recipient has the option of keeping the money in their Vibrant wallet, a noncustodial mobile digital wallet powered by Stellar, or withdrawing cash at any MoneyGram location worldwide.
The initiative has undergone extensive testing over the past six months and is anticipated to be expanded in early 2023 to include more war-affected citizens of Ukraine as well as Ukrainian refugee populations. It goes to support UNHCR’s efforts to increase the systematic and prompt use of Cash-Based Interventions, a highly valued form of aid in emergencies.
Denelle Dixon, executive director and CEO of the SDF, asserts that the solution will guarantee that the money reaches those in need quickly, transparently and without the need for credit or debit cards or bank accounts.
In addition, Oleksandr Bornyakov, Ukraine’s deputy minister for digital transformation in the information technology sector, emphasized the importance of blockchain technology in scaling humanitarian efforts by transforming the way funds were distributed in a way that was more transparent and accountable.
This is not the first humanitarian initiative supported by blockchain. In conjunction with the International Committee of the Red Cross, the Partisia Blockchain Foundation held a “hackathon” earlier this month. The meeting was intended to identify ways in which the foundation could be utilized to increase the effectiveness of Red Cross payments for humanitarian aid.
The Ukrainian government has embraced blockchain and cryptocurrency during the war, raising $184 million in crypto as of Nov. 30, 2022, according to blockchain analytics firm Crystal.
Such news of agencies of the UN taking up blockchain as a way to expedite and streamline their work is a strong encouragement to sector players such as Stronghold Digital Mining Inc. (NASDAQ: SDIG) because it proves that it is just a matter of time before these technologies become integral to life, in the same way that the internet is part of life.
About CryptoCurrencyWire
CryptoCurrencyWire (“CCW”) is a financial news and content distribution company that provides (1) access to a network of wire services via InvestorWire to reach all target markets, industries and demographics in the most effective manner possible, (2) article and editorial syndication to 5,000+ news outlets, (3) enhanced press release services to ensure maximum impact, (4) social media distribution via IBN (InvestorBrandNetwork) to nearly 2 million followers, and (5) a full array of corporate communications solutions As a multifaceted organization with an extensive team of contributing journalists and writers, CCW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. By cutting through the overload of information in today’s market, CCW brings its clients unparalleled visibility, recognition and brand awareness. CCW is where news, content and information about crypto converge.
To receive instant SMS alerts from CryptoCurrencyWire, text “CRYPTO” to 888-902-4192 (U.S. Mobile Phones Only)
For more information, please visit https://www.cryptocurrencywire.com
Please see full terms of use and disclaimers on the CryptoCurrencyWire website applicable to all content provided by CCW, wherever published or re-published: https://CCW.fm/Disclaimer
CryptoCurrencyWire (CCW)
New York, New York
www.cryptocurrencywire.com
212.994.9818 Office
Editor@CryptoCurrencyWire.com
CryptoCurrencyWire is part of the InvestorBrandNetwork.
Argentina is stepping up its efforts to stop the use of crypto in the financing…
PayPal has rolled out a new feature that lets users pay with crypto directly through…
As digital currencies become more connected with mainstream finance, major players in the industry are…
While Bitcoin remains the top pick for most corporate treasuries, a growing number of companies…
Crypto-related stocks experienced a surge on Monday as Ether reached its highest price of the…
Johannesburg and Cape Town, South Africa – July 10, 2025 Bitcoin Events is proud to…