eToro, a multi-asset investment platform that empowers consumers to grow their knowledge and wealth as part of a global community of investors, reveals that it’s “reinforcing its commitment to opening the digital economy to the next billion global crypto users.”
eToro confirmed in a release shared with CI that it’s “raising its stake in GoodDollar’s universal basic income (UBI) protocol from $58,000 to $1 million.”
The announcement noted that the additional capital will be used to fund the expansion of GoodDollar, a protocol that “works to further financial education and bridge the growing global wealth gap with a clever combination of smart contract mechanics, decentralized finance (DeFi) and a reserve-backed crypto token — the G$.”
As stated in the release:
“The GoodDollar system captures the interest generated by staking sponsors’ capital in DeFi protocols such as Aave and Compound and distributes that to a global community of members in the form of GoodDollar tokens. At the same time, GoodDollar fosters financial education and introduces recipients to the benefits of crypto.”
GoodDollar is a model that aims to flip traditional donation-driven philanthropy “on its head.” Supporters are “incentivized to take part through a “double bottom line” set of rewards: both financial and social,” the announcement noted.
Because it draws upon the power of DeFi, GoodDollar is “free from geographical, economic and regulatory restrictions,” the update explained.
Anyone in any country is able to take part in the digital economy by “accessing free crypto currency via the GoodDollar app, and anyone can become a philanthropist by staking capital to support the goals of the project.” GoodDollar is in fact “the world’s most universal UBI program to date, with more than 225,000 users in virtually every country on the planet.”
GoodDollar recently shared the results of its Proof of Concept, a limited launch of the protocol “designed to validate the economic model and market adoption.” Results after one year reveal that the protocol “distributed $16,000 worth of UBI in G$ to more than 225,000 people – based on an initial stake of $58,000.”
As mentioned in the update:
“This success spurred eToro into making a deeper commitment to the project, by raising its stake more than 17-fold. The increased investment comes in preparation for the fall launch of GoodDollar V2, which will allow any believer to commit capital to the system and contribute to making global UBI a reality.”
“Too many people are locked out of opportunities that could take them out of poverty, including access to capital markets and digital work opportunities.” stated Yoni Assia, CEO of eToro.
He added that the GoodDollar initiative is focused on “alleviating that by fostering financial inclusion and empowerment around the world.” He also noted that their “hope is for other innovation leaders, who recognize the potential of crypto, to join [them] and help use the burgeoning power of DeFi responsibly.”
GoodDollar has been conceived by Assia and supported by eToro, although it was “set up and run as an independent foundation and entity.” The planned release of the GoodDollar V2 smart contract will “shift stewardship to the newly established GoodDAO, and it will be the community who steers the project into the era of global decentralized economies.”
As mentioned in the update, GoodDollar.org is a non-profit organization on “a mission to drive financial education and inclusion.”
The protocol opens the door “for the $80 billion DeFi market to make a lasting impact in the realm of social responsibility and help GoodDollar bring traditional markets to the 1.7 billion people who are still unbanked.” GoodDollar has created a wallet that “enables any human with an internet connection to sign up and claim a small daily income in G$ coins.”