After the devastating earthquake in Morocco, Binance Charity has stepped up, pledging a significant $3 million in Binance Coin (BNB). This move, however, has sparked a whirlwind of discussions and debates in the humanitarian sector.
Significantly, critics have labeled this gesture as a mere PR stunt. They argue that essentials like food and water should precede cryptocurrency in dire circumstances. The Financial Times highlighted these concerns, emphasizing the immediate needs of the victims.
However, CZ Binance, the CEO of Binance, has clarified this matter. He acknowledged the importance of necessities, stating, “We concur. The essentials have always been available on Binance. It takes some time to put it together.” Moreover, he emphasized the efficiency of crypto transactions, which are notably faster.
Additionally, Binance Charity has outlined its two-fold approach to disaster relief. Firstly, they aim to provide tangible goods. Secondly, they offer direct financial access through crypto-based donations. This strategy, while innovative, has faced criticism. Detractors believe it primarily benefits existing Binance users, limiting its broader impact.
CZ said, “We can only reach our consumers at this pace. Donations are just that.” He emphasized cryptocurrency donations’ unique speed, transparency, and adaptability advantages. Unlike traditional financial transactions, BNB Chain transactions offer almost instant clarity. Furthermore, they can be swiftly converted into most national currencies, offering flexibility during crises.
Besides, CZ defended the decision to focus on current Binance users. He believes they are well-versed in handling cryptocurrency wallets and converting digital assets into fiat money. He remarked, “A non-crypto person saying crypto is not cash is like a blind person saying lights are useless.”
Consequently, Binance Charity took the initiative to airdrop up to $3 million worth of BNB to its Moroccan users post the earthquake. However, the organization also understands the significance of conventional aid. Hence, they’ve committed to partnering with local entities, channeling public donations to a Moroccan charity, and allocating a portion of their proceeds to users.
The earthquake’s ripple effects on Morocco’s economy are undeniable. Binance Charity believes in supporting its users, even if the outreach is limited to its immediate user base. The efficiency and transparency of blockchain ensure that a larger chunk of the donated funds reaches those in need.
Moreover, Binance Charity remains open to feedback and evolution. They’ve expressed a willingness to work with humanitarian experts to amplify the impact of their initiatives. The organization envisions a future where blockchain technology is pivotal in fostering sustainable development for communities.
Binance Charity’s dual approach, blending tangible aid with the power of cryptocurrency, showcases a novel path in disaster relief. Their commitment to transparency, adaptability, and collaboration sets a precedent in the ever-challenging realm of humanitarian aid.
Source: https://www.cryptopolitan.com/cz-binance-defends-3-million-bnb-donation/