Lido Impact Staking Partners with UNHCR for Crypto Philanthropy

Lido Impact Staking has launched a partnership with the UN Refugee Agency, allowing ETH stakers to donate staking rewards to support UNHCR’s humanitarian projects globally.

This initiative represents a shift in charitable giving, combining blockchain technology with philanthropy, and offering a novel way for donors to contribute without liquidating their holdings.

Lido’s 10 ETH Staking to Benefit UNHCR

Lido Impact Staking (LIS) offers a platform for ETH stakeholders to allocate staking rewards to the UN Refugee Agency. Established by Launchnodes, the initiative echoes the rise in blockchain-based philanthropy models.

The UN Refugee Agency is a primary beneficiary, with LIS developed under a grant from the Lido Ecosystem Grants Organization. This collaboration merges blockchain and philanthropy, providing ETH stakeholders a philanthropic pathway without losing staked capital.

Ethereum Community Embraces Reward Donation Model

The initial funding involves staking 10 ETH with all rewards directed to UNHCR. Community responses highlight the transformation in charity models, demonstrating support for humanitarian aid without capital loss.

Staking rewards are redirected, illustrating financial innovation within Ethereum’s ecosystem. This integration may increase UNHCR’s capabilities via a sustainable funding source, evidencing blockchain’s potential in social causes.

Crypto for Philanthropy: A Financial Evolution

Previous efforts like GiveDirectly reflect a history of using crypto for direct aid, but LIS enhances this by retaining invested capital. Such events signify shifts in how decentralized finance can support real-world needs.

Experts view the involvement of Launchnodes and other entities as crucial for scaling impacts. “Impact staking changes what it means to be a donor, by not needing them to give away their capital, rather the opportunity cost of some of their staking return… Impact staking is a new open source financial tool that creates impact in the real world for real people,” said Jaydeep Korde, Founder, Launchnodes. Success is contingent on transparent token movements and stakeholder involvement, as highlighted by LIS’s dashboard initiatives.