USA – Created to power a decentralized network of fundraising campaigns, GrumpyShiba is more than just a cryptocurrency.
The Big Question:
In a capitalistic society, private-sector fundraising has always faced a delicate and consequential dilemma: how can investors make money without profiting from funds donated to the less fortunate? This simple question constitutes the root cause of virtually all the issues plaguing existing models for charity-oriented organizations we see today. In other words – how can a system designed to distribute wealth be successfully implemented within an economy that rewards the consolidation of it?
How Traditional Models Fail to Provide an Optimal Solution:
Keeping the big question in mind, the pitfalls of existing fundraising models can be illustrated by dividing them up into one of two categories: models that hemorrhage capital and models that directly profit from donations.
In the first case, while the model is certainly generous to those in need, it simply cannot organically exist in a capitalistic system. The drawbacks here include constantly having to rely on rich donors who may be biased towards certain causes, catering to these donor’s preferences, a lack of transparency in regards to fund distribution vs. organizational expenses and underfunding critical components of the platform itself.
The second model, while fiscally viable, undermines the central tenet of donating – distributing wealth rather than accumulating it – and violates the integrity of fundraising by constructing a system that profits off of it. While these platforms tend to be more transparent, maintaining a successful for-profit business inevitably compels these companies to prioritize profits over philanthropy leading to a system where those in need of donations will always come second to investors.
A New Decentralized Model Using Crypto:
GrumpyShiba’s crypto-altruism network answers the big question by introducing a system in which investment and fundraising are permanently separate but immutably linked. The core tenant of this model relies on establishing a distinct abstraction between investors and philanthropists. This creates a true free market for donations where the ONLY fees incurred are the fair market cost of facilitating the physical transaction.
Investors make money by speculating on the currency used to interact with the system and philanthropists use the same currency as a transient means of providing transparent funds to those who need it. The abstraction of cryptocurrency allows confident investment with the promise that tokens will naturally be circulated and independent fundraising with the knowledge that the coin’s value at any given point in time will have nearly no bearance on the funds being donated. Both sides of this network grow synergetically. An increase in investing leads to more publicity and more philanthropists discovering the fundraising platform. Similarly, an increase in fundraising activity translates to more investor confidence in the currency that powers it. However, if the value of the currency itself falls in value overnight, there’s virtually no impact on the fundraising platform itself.
This model allows for the creation of a truly transparent ecosystem that is entirely governed by the market with absolutely no artificially-implemented fees. The only cost incurred to the donator and the donatee is purely transactional, that is, the fair market cost of the energy required to facilitate the movement of funds. Every penny involved in this process is tracked, and accounted for.
An overview of the GrumpyShiba crypto-ecosystem.
So, is This Just a Crypto Version of “GoFundMe”?
This isn’t just a “crypto GoFundMe”, it’s a revolutionary change to the entire industry of philanthropy as we know it today. While the GoFundMe platform was a step in the right direction in regards to building a completely decentralized fundraising platform, the final product is one-dimensional, directly for-profit, and falls short of answering the big question. At inception, GoFundMe charged all users a 5% platform fee. Since then, due to competition, they have adopted a 2.9% transaction fee and 30 cent charge on all donations. Additionally, the system does not support a truly decentralized network as even anonymous donations allow campaign organizers to receive the donor’s information.
GrumpyShiba was built on the Binance blockchain which offers competitively-low, market-driven fees averaging around 0.015-0.1%. The transaction cost is determined by supply and demand rather than relying on artificially-implemented variables. Further, cryptocurrency allows for the implementation of a completely decentralized platform which supports truly anonymous donations.
This isn’t just a competitive platform for GoFundMe, it’s a first-of-its kind vision to build a system meant to DISTRIBUTE wealth in a capitalistic economy.
Learn More & Support Our Vision For the Future:
A more technical breakdown of GrumpyShiba’s innovative solution to traditional fundraising can be found here: https://grumpyshib.com/doc/GrumpyPaper.pdf
Check out GrumpyShiba’s fundraising platform, ShibHope, in action: https://shibhope.com/