GrantsFund4Aid, an on-chain grant management platform developed by Innofund, has concluded a pilot testing how blockchain technology can support more transparent, traceable and efficient grant management. It successfully disbursed test grants to ten teams participating in a United Nations Development Programme (UNDP) global initiative, the SDG Blockchain Accelerator, that helps develop and scale practical solutions powered by emerging tech to advance the SDGs.
The pilot explored the potential of on-chain grant management to increase visibility over funding flows, strengthen accountability and reduce some of the administrative burden associated with traditional grant processes among international organizations.
Test pilot grants were successfully disbursed to ten participating teams under the EMURGO track of the Accelerator led by UNDP Alternative Finance Lab (AltFinLab), which connects emerging tech, innovation and finance, to explore, test and scale new approaches for sustainable development.
“We were interested in testing whether an on-chain grant management platform could make grants to civil society organizations (CSOs) and solution makers in the SDG Blockchain Accelerator more transparent, efficient and easier to track,” said Teodor Petricevic, Accelerator Lead, UNDP AltFinLab. “The objective was to test whether blockchain could provide better traceability and accountability while simplifying the overall grant management process.”
Alongside the grant disbursements, feedback was also gathered from UNDP AltFinLab teams and participating organizations to assess the pilot and help strengthen the next stage of the GrantsFund4Aid MVP.
The feedback provided encouraging early indications of support for the approach. All surveyed UNDP respondents said they would share their experience with colleagues and encourage others to try GrantsFund4Aid, while all surveyed participating organizations said they would use the platform to apply for grants again and share their experience with peers.
Feedback also identified priorities for the platform’s next phase, including simpler onboarding, improved wallet integration, grant tracking and notifications, and easier fiat off-ramping. Participants also highlighted the potential to connect CSOs with a wider range of funders.
“The platform could evolve beyond grant management into more of a matchmaking platform, connecting CSOs looking for funding with grant givers looking for relevant projects and partners,” added Petricevic.
The findings from the pilot will now inform the next stage of development of GrantsFund4Aid, with a focus on improving the user experience and exploring how on-chain technology can help connect funders, CSOs and solution makers through more transparent and traceable funding mechanisms.
Photo credit: Shubham Dhage / Unsplash
