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Achieving Universal Food Security in 10 years using ChariD – a Decentralised Charity Ecosystem

Incentivise and empower society to eradicate food insecurity worldwide, bringing together all stakeholders and their resources.

Photo of Moiz Penkar
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Describe your idea in one sentence (200 characters)

Eradicate food poverty by combining the strengths of Effective Altruism, Social Impact Bonds, Social Policy Bonds and Decentralised Autonomous Orgs, leveraging the existing systems and organisations.

Explain the challenge you are aiming to solve (1500 characters)

The main problems we aim to address are: - Lack of trust in charity organisations: The trust in charity sector is not very high, e.g. in NZ, the trust in charity organisations is rated only 5.9 out of 10. - Misalignment between self-interest and universal social good: We have witnessed wastage of food and other resources for capitalistic gains. The market economy promotes resource utilisation for profit which sometimes conflicts with maximising social good. - Preference towards donating directly, in time and kind: In many countries, charity is preferred to be given directly to beneficiaries. This reduces the availability of resources for bigger projects/outcomes. - Lack of visibility of charity utilisation and impact: More givers are now wanting to know more about how the charity is used and what impact does it have. - Unsustainable social interventions: Many charity projects are not self sustainable and don't have enough incentives for all parties to continue cooperating and achieving the outcomes.

Is there data or evidence that supports this problem which you are trying to solve?

  • YES

If YES, please share 1-2 insights or pieces of data that support the problem you are hoping to address through your solution (500 characters)

The concept has been under development for 2 years now (charid.org), going through changes based on feedback from professionals/experts from different disciplines, representing all stakeholders and studying other similar efforts. Involving more people from relevant disciplines and more stake holders working on ground, is a key next step of the process. The detailed steps may then be mapped out better as each design iteration would inform the subsequent ones better than we can at this point.

What’s your innovation or solution? How does it work? (1500 characters)

THE INDIVIDUAL CONCEPTS INVOLVED

- Social Policy Bond

- Social Impact Bond

- Effective Altruism

- Decentralised Autonomous Organisations

ELIMINATING FOOD POVERTY

Bringing all the concepts mentioned above together to define, fund and incentivise sustainable social outcomes. The model applies to achieving any social good.  We choose to start with food poverty.

As with SIBs, we have different roles being performed by different parties.  As with SPBs, market forces determine the allocation of effort and resources towards the most achievable outcomes by different providers. As users contribute (in any way) towards an outcome, they get rewarded by ‘coupons’ which become redeemable after the outcome is achieved, incentivising further involvement.

The technical development of the decentralised platform itself becomes one of the first outcomes, incentivising the development and maintenance of the platform itself.

We also benefit from and help the other efforts towards the same outcome, e.g. “Share the Meal” app and the blockchain payment systems developed by the World Food Programme.  This is important in order to provide a multiplier effect to whatever is already working, even if in a limited way and scale it up.

In the long term, the donors and providers become incentivised to work towards outcomes that are more achievable, channeling more funds and efficiencies at the same time – making a real impact, one outcome at a time.

Tell us about your end users (1500 characters)

Donating Money: This is a donor who generally researches and chooses one cause to support and contribute towards. This cause may sometimes be dear to the donor for personal reasons. They would like to know the direct impact and progress. If they have some doubts about the effectiveness of their donation, they mostly stop donating instead of switching over to other causes. Most individual donors support one or two causes only, at one time. The typical donor would have at least some university education. They earn at least an average income and have travelled to a few cities. Donating Time/Effort: This person is seeking opportunities of personally getting involved in efforts towards making the world a better place. They sometimes are willing to travel and help out with their time and efforts, especially if they personally relate to the achievement of that social outcome. This user experiences a high involvement decision where the user wants to be confident that their efforts will be worthwhile. These users mostly contribute to the local communities with their time and efforts with an occasional longer term commitment towards one cause, which could include travelling. The typical user would be living on a budget, sometimes doing part-time jobs and interested in travelling and meeting new people. They could also be employed by a not-for-profit or social enterprise.

What part of the donor journey does your solution address?

  • Stage 2: Validation - determining where and how much to give

Geography of focus:

  • Asia

Tell us about the scale of your innovation:

  • Anywhere in the world

If Community or Country Specific, tell us a few more details about the context in which your idea will be implemented (300 characters)

The local conditions of each place may be unique. We provide the platform to bring different parties together and incentivise outcomes achievement, leaving the specifics to the outcome setters and providers. The success of Social Impact Bonds in specific communities is something we want to scale.

How is the idea innovative? (750 characters)

The ChariD platform rewards all good work and makes the participants benefit from achieving the target outcomes. In market terms, the money assigned/invested to individual outcomes creates the demand for the achievement of that outcome. The providers are on the supply side of the equation. The 'coupons' are the instrument of value exchange. The providers can further subcontract their efforts and pass on the 'coupons' that they are earning. The interaction between the supply and demand of outcomes will determine the price of each ‘coupon’ which we can let the market forces to determine, under some basic controls. Because we build on existing/running concepts, the platform is relatively and practically easier to build and deploy.

Idea Stage

  • Blueprint: We are exploring the idea and gathering the inspiration and information we need to test it with real users.

Feasibility (1500 characters)

The next key step is to have people from different disciplines (to make a core team), especially the following: - Domain experts, working in solving food poverty - Software developers, experienced in decentralised applications - UX researchers and designers - Liaison with existing systems/organisations - Liaison with government/policy makers - Economists and financial investment advisors A summary of steps needed to realise this project: 1. Build core team and incentivise their efforts (angel investment, kickstart) 2. Structure contracts for first outcome of "platform development" focusing on the food security outcome 3. Define second outcome, e.g. 10% reduction in food poverty in one city 4. Begin design sprints, utilising existing capabilities 5. Finalise architecture of 'coupons' (financial instrument) and 'decentralised organisation' (technology platform) 6. Reassess team and resources 7. Deploy and test first version, inviting new participants 8. Incorporate feedback from all stakeholders and continue iterating, onboarding more participants 9. Scale up by adding more objectives, e.g. reduction in food poverty in more cities 10. Launch platform for commercial investors

What impact will your innovation create? (1500 characters)

The innovation incentivises good work towards achieving outcomes, while empowering society to participate in different ways. The participants mutually create a 'peer reviewed' work environment where everyone benefits on achieving social outcomes. With empowered and motivated participants, we can channelise the same efforts to solve real world problems effectively. Self-interest motivates most behaviour in the society. For example, an inherently suboptimal system like Bitcoin has gained popularity because it provides opportunity to make private gains - despite it's limited transactional capabilities, high energy consumption and e-waste contribution. As the users of ChariD donate money towards the outcome, they get rewarded by ‘coupons’ which become redeemable after the outcome is achieved, incentivising further involvement. In the long term, the donors become incentivised to donate to outcomes that are more achievable, driving more funds towards better providers and more achievable outcomes – making a real impact, one outcome at a time. This users in the “provider” group also earn ‘coupons’ as rewards for their work. As with the donors, this user can also redeem the ‘coupons’ after the outcome has been achieved. Effectively, everyone gaining a 'coupon' incentivises them further to achieve the outcome. Even after achieving an outcome, they have incentive to contribute to more outcomes they feel most confident about and continue the cycle.

Organization Name (150 characters)

ChariD – A Decentralised Charity Ecosystem

Explain your organization (500 characters)

My background is a mix of Computer Science, Business and Human-Computer Interaction. I have also volunteered for over 20 years in different roles. I continue to organise events as part of InterNations, to bring people from diverse backgrounds together in a meaningful way. I believe a robust decentralised charity platform built to incentivise outcome achievement can solve big problems by rewarding good work.

Website URL (if applicable)

www.charid.org

Type of submitter

  • We are not yet a registered organization but looking for collaborative partners

Organization Location (150 characters)

Wellington, New Zealand

What is the current scale of your organization’s work?

  • Community (working within one or a few local communities within a region)

Would you like to share your contact information with the Gates Foundation, to be included in future funding information and their Better Giving Studio newsletter?

  • YES

7 comments

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Photo of Thais Falquer
Team

Hi, Moiz! Congratulations on your initiative! Your project is extremely interesting. It's sad in a society like ours to still have people starving. That projects like yours continue to be born to attack this gigantic problem :)

Spam
Photo of Moiz Penkar
Team

Well said Thais Falquer . The big problem is also somewhat a consequence of wrong (economic, political and social) incentives. The idea I'm working on feels a little complicated and overwhelming. I'm open to suggestions of simplifying it if possible, while incentivising the achieving of social outcomes.

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