• Stellar is contributing to the relief efforts in Brazil through donations hosted by CheesecakeLabs.
  • The choice of Stellar is to bolster transparency and proper fund management.

The Stellar network, an open-source decentralized protocol, was recently utilized to raise funds for Brazilian food relief. This development is in response to heavy rains and winds that slammed the northern region of Rio Grande do Sul, Brazil in late April.

Brazil Leverages Stellar Blockchain for Crypto Fundraiser

Leveraging the Stellar blockchain, a crypto fundraising campaign was raised by CheesecakeLabs, a Brazilian engineering firm within the Stellar ecosystem. The fund aims to aid affected families, schools, shelters, and charitable organizations.

Recently, heavy rains and strong winds hit the northern part of the state of Rio Grande do Sul in Brazil. What followed is considered the country’s worst flooding in over 80 years.

In response, @MGracietti of @CheesecakeLabs, a Brazilian engineering firm in the Stellar…

— Stellar (@StellarOrg) June 11, 2024

“It’s incredible to see builders in the ecosystem who recognize the power of these solutions mobilize them to help their communities in times of crisis,” noted Stellar in an X post.

Marcelo Gracietti, CEO of CheesecakeLabs highlighted that crypto donations can be made with USDC, leveraging the protocol for zero fee and instant transfers. Donations in XLM, Stellar’s native digital asset, are also supported, according to Gracietti.

This development exemplifies the potential of blockchain technology to empower individuals to make a real difference during times of crisis. Builders like Gracietti recognize the unique capabilities of these solutions and mobilize them to support their communities in their greatest hour of need.

Gracietti’s efforts serve as an inspiration to others within the blockchain community. It demonstrates the immense potential of this technology to support positive social impact.

At press time, XLM is trading at $0.0991, demonstrating a 0.95% increase in the past 24 hours. The market cap is pegged at $2.8 billion, while trading volume is over $63 million.

Why Stellar

Blockchain technology like Stellar inherently provides a transparent ledger, allowing donors to track their contributions and gain confidence that their aid reaches its intended target. Moreover, international assistance can be crucial during disasters. The blockchain eliminates geographic restrictions, potentially enabling a wider donor pool to contribute to the relief effort.

Stellar is a blockchain network designed specifically for facilitating cross-border transactions. The network minimizes expenses and democratizes financial services, irrespective of geographical location or financial standing. This ensures that funds reach those in need quickly.

As Crypto News Flash had earlier detailed, Stellar was founded in 2014 by Jed McCaleb and Joyce Kim. The Stellar Consensus Protocol (SCP), an in-house consensus mechanism forms the bedrock of Stellar’s lightning-fast transaction confirmations, typically completed within 3 to 5 seconds.

SCP is environmentally friendly and demands negligible energy consumption compared to energy-intensive mining practices synonymous with Proof-of-Work systems like Bitcoin.

The use of Stellar for crypto donations in Brazil is just one of several cases.

Last year, Stellar disclosed that the UNHCR is leveraging its open-source disbursement platform to send donations to Ukraine. As previously reported by Crypto News Flash, the process involves the receiver getting a notification to download the wallet to receive the incoming transaction.

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