The lack of transparency of how funds are used is a leading problem with a lot of charities. Ever so often we hear of charities turning to be scams. Building an on-chain charitable entity will allow users to not only track funds but also be able to understand how funds are being utilized.

EthOnline - Decentralized GoFundMe

Inspiration:

The lack of transparency of how funds are used is a leading problem with a lot of charities. Ever so often we hear of charities turning to be scams. Building an on-chain charitable entity will allow users to not only track funds but also be able to understand how funds are being utilized.

Goal:

To build a fully decentralized charity organization like GoFundMe which is able to accept donations in crypto or fiat currencies.

DAO Voting Mechanism

This would require some experimentation to find an optimized way to make the dao work.

• During donation to a charity, a donor will be asked what should be done with the money incase a proposal fails. There will be two options (Fallback options)
  • Return the money back
  • Donate to a charity that will be chosen by a multi sig wallet belonging to the team(later community)
  • Donate money to a reserve contract that will be used in case of catastropic events. Floods, Earthquakes etc.
• Have a quadratic voting system
• Set a threshold of 40% of votes would allow a proposal to be passed
• Also allow donors to delegate their tokens to a multisig wallet that is initially owned by the team. Later we can try to build a governance team of prominent members who have provided value to the project. Donors can revoke their permission at any time
• In case of low voter turnout, another vote can be scheduled after which the team (later the governance team) will be allowed to take a decision on the proposal.
• Should a proposal fail to pass the fundraiser will be given two more tries to pass a proposal
• Should 3 tries of a proposal fail, the fallback option will be initiated

User Journey

• Start a Fundraiser - No voting process (Reminders for progress updates)
  • Click on the fundraiser button on the homepage
  • Connect wallet to authenticate user
  • Select start a fundraiser for cause -Not required if it is the only application
  • Set a recipient (beneficary wallet or same as above) NOTE: Wallet set here would be the owner of the account. (If multiple wallets are set up then they all would be owners - Gnosis Safe MultiSig)
  • Enter a name for the fundraiser
  • Enter fundraiser category for easy searching (e.g. Environment, Animal Rights, Human Rights, etc)
  • Enter a fundraiser location (to show results local to donors)
  • Set a funding goal
  • Set a funding duration - Optional
  • Give a description about the fundraiser
  • Give a bit of background on who the organization/ person behind the fund raise is?
  • Add some information about what the fundraiser funds will be used for
  • Add supporting pictures and videos to that would provide information about the cause or draw awareness to a problem
  • Click create fundraiser which would then open metamask and ask the creator to deploy contract in which the funds would be stored
  • Once the contract is deployed it should be shown on the active fundraisers page
  • On clicking the contract a simple dashboard should be available showing the funds received and the funds removed
• Start a Charity
  • Click on the fundraiser button on the homepage
  • Select verify my charity
  • Give contact details about the organization - name, url, contact email address, LinkedIn page of the person to contact(to verify the person is part of the organization)
  • Give details of the accepted currencies? - ETH/USDC/USDT
  • Give details of the wallet address that donations will be accepted too. Note: Should support ETH and ERC20 tokens
  • Give the ability to toggle a switch on their account that automatically converts all non-stable crypto to stable crypto
  • Select Verify Now

Details we need to capture:

• Full name
• Email Address
• Is your project part of a registered non-profit organization?
• If not a non-profit: ◦ Please tell us a bit about how your organization is structured.
• If non-profit:  ◦ In which country are you registered ◦ Please provide a link to your country's government registry where the team can look up/confirm your status.  ◦ Please upload proof of your organization's non-profit status.This question is required. Make sure that your documentation includes a reference number that can be looked up in a government registry.
• Which social media accounts does the organization own?
• Which personal social media accounts do you own?
• What is the name of your project?
• When was your organization/project founded?
• What is your organization/project's mission and how does it align with creating positive change in the world? Which milestones has your organization/project achieved since conception?
• Please provide links to photos, videos, testimonials or other evidence of your project's impact. If you cannot provide links to evidence of milestones that have already been achieved, you can upload proof here.
• The funds raised are expected to be used for public benefit and not for personal gain. How will you use the funds that your project raises? Please provide detailed funding/budget information as well as an overall roadmap or action plan of the project.This question is required. * Note: It is acceptable for donations to be used for salaries and other internal expenses of the project. The idea is that the funds are being used to support the project and that the project, as a whole, is benefiting society.
• Please provide a list of all Ethereum wallet addresses used for managing funds within your project.This question is required. *
• In order to ensure that you are actually a representative of the organization/project you're applying for, we ask that you post a link to your project on the organization's twitter or social media account.
• I pledge that funds raised will be used for public benefit, not for personal gain.

Future Scope

• [ ] receipts? https://vault12.com/blog/nonprofit-nft-and-crypto-donation/tax-implications-for-nonprofits-that-accept-crypto-donations