British Virgin Islands partners with LIFElabs.io to establish blockchain-based Rapid Cash Response system to speed emergency aid.
The government of the British Virgin Islands has entered a partnership with LIFElabs.io with the aim of providing Rapid Cash Response in the event of emergencies.
A British Overseas Territory located in the Caribbean, east of Puerto Rico, the British Virgin Islands has an estimated GDP of over $1 Billion, and suffered damages in excess of $3 Billion during hurricane Irma.
The project aims to enable an even faster response to any future disasters, and will also create an alternative digital currency payment method for facilitating ongoing financial transactions across the islands.
Talking about the plans, Premier and Minister of Finance for the British Virgin Islands, the Honourable Andrew A. Fahie, said:
“It is of utmost importance that our citizens receive immediate and proportional response in the midst of emergencies. LIFElabs’ innovative financial technology comes at a pivotal time for our people and our economy, while the memory of recent natural disasters remains fresh in our minds and hearts, and the pressure for increased economic efficiency keeps mounting. It is with high expectations that we enter into this unprecedented partnership, together, building a better BVI for the future.”
The project is also part of the government’s efforts to promote the BVI as a hub for the emerging blockchain industry, following the lead of other small island nations and territories, notably Malta, Vanuatu and the Marshall Islands, who have identified blockchain industries as a core plank of future economic growth. To this end, the BVI is already planning several blockchain conferences to showcase new business opportunities.
Discussing the project LIFElabs.io CEO, Sanjay Jadhav, explained:
“The intrinsic value of LIFElabs.io’s platform is found in its trifecta of security, transparency, and efficiency. It is estimated that adopters of our blockchain Platform as a Service (PaaS) will reduce their current transactional fees in excess of 50%, all while incurring zero out of pocket cost to implement it, speeding the average transaction time exponentially compared to Automated Clearing House (ACH) electronic payments, wired or over the counter cash transactions.”
Under current plans, BVI residents will be able to download the LIFEwallet® app on either Apple iOS or Google Android mobile devices, giving them access to an account that can have funds deposited to it during a disaster situation. There will also be provision for digital currencies to be sent and received via SMS, making it accessible even to those without smart mobile devices.
It will also be possible to use the wallet app for peer-to-peer (P2P) transactions, and for day-to-day purchases from local businesses.
Through the new system, in the event of a disaster, people all around the world will be able to donate directly to the BVI/LIFE Rapid Response Cash Fund, speeding response times and cutting costs.
It will also enable donating members of the public to see exactly what their funds are being used for, building transparency and trust. This could significantly increase public faith in donations – a faith that was severely damaged in scandals like the 2010 Haitian earthquake relief effort, when incredible amounts of money were raised, but only a fraction actually reached communities in need.
AYO.NEWS says:
Its fantastic to see blockchain being put to such good use, and its clear to see the potential for making financial relief both quicker and more transparent. While this system does have some clear limitations – for example, in cases of severe disaster, if mobile/internet networks are damaged and power is out, it might be very difficult for people to access networks or charge their devices – it will certainly speed recovery, as fixing a few mobile towers could be done much quicker than fixing the traditional financial infrastructure. It might also be beneficial to public order, reducing the threat of crime like robberies and looting during a post-disaster situation.
