UNHCR – UNHCR wins award for innovative use of blockchain solutions to provide money to forcibly displaced persons in Ukraine
UNHCR won the “Best Impact Project Award” for its pilot project that uses blockchain technology to pay out money to people displaced by the war in Ukraine. © UNHCR/Celine Schmitt
GENEVA – Paris Blockchain Week 2023 today awarded UNHCR, the United Nations refugee agency, its “Best Impact Project Award” for a pilot project that uses blockchain technology to pay out money to people displaced or affected by the war in Ukraine.
This award recognizes projects that deliver significant social impact using blockchain technology and acknowledges UNHCR’s commitment to exploring innovative solutions to assist refugees and internally displaced persons.
In December 2022, UNHCR, in collaboration with the United Nations International Computing Center (UNICC) and the Stellar Development Foundation (SDF), and with pro bono legal advice from Linklaters, successfully executed a small pilot to distribute cash aid to a group of people displaced by the war in Ukraine in Circle Internet Financial’s USD Coin (USDC) – a stable coin where one USDC is equal to one US dollar . This money was transferred directly to the recipient’s digital wallet, which can be accessed via a smartphone.
This program, designed to be easy to use for recipients, allows them to convert this aid into cash, withdrawing their money in dollars, euros or local currency at any global MoneyGram location, or to transfer the amount to a personal bank account. This support can then be used to cover basic needs such as rent, food, medical treatment and heating in winter.
The small-scale project in Ukraine is the first of its kind and has the potential to be scaled up in the future to offer digital solutions for cash payments in other contexts.
“The technology sector has a critical role to play in helping humanitarian organizations innovate to deliver better aid to the people forced to flee,” said Kelly T. Clements, UNHCR Deputy High Commissioner. “It is critical to invest further to expand digital literacy and connectivity among displaced populations and to adapt solutions to the needs of the most vulnerable and the context in which they will be implemented.”
As the number of people forced to flee and humanitarian crises around the world increase, UNHCR aims to harness new technology to deliver aid to more people faster and more safely.
This blockchain initiative complements UNHCR’s commitment to further expand the provision of cash as a key form of assistance, as it allows those forcibly displaced to prioritize their needs with dignity. Since 2016, when UNHCR issued its first policy on cash-based interventions, the agency has delivered nearly US$5 billion in cash assistance to some 35 million people in 100 countries.
Notes
Link to the Paris event:
Link to UNHCR’s work with cash-based interventions:
For more information, please contact:
share on Facebook
Share on Twitter
