The UN will send financial aid to Ukrainians using the Stellar Blockchain.

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On December 15, the Stellar Development Foundation (SDF) announced its collaboration with the UNHCR to test a Stellar-powered digital cash disbursement system for distributing funds to Ukrainian refugees.

The UNHCR is the organisation charged with looking out for people fleeing persecution or political upheaval.

Through the “Stellar Aid Assist” pilot project, Stellar will concentrate on providing the UN’s assistance in an instant. To accomplish that, it collaborated with Circle, MoneyGram International, and the wallet app Vibrant.

The stablecoin USD Coin (USDC), which is sent directly to recipients’ phones through Stellar Aid Assist, is already being used “to provide qualified Ukrainians” with financial assistance, claims the project’s website.

In order to receive digital relief aid through the Vibrant wallet and receive the funds in cash at participating MoneyGram locations, eligible Ukrainians can register with a participating relief organisation.

Stellar Aid And The UN Provide Assistance to Ukrainians

The UN can send money more quickly and affordably than through legacy channels thanks to Stellar and Vibrant. Additionally, as a result of the war’s damage to Ukraine’s banking system, the number of unbanked and underbanked people rises. In this case, it is crucial to find a solution without relying on banks.

Even if they don’t have a bank account or a credit or debit card, Ukrainian citizens will be able to quickly receive their assistance thanks to the partnership with MoneyGram. However, should they choose to do so, Ukrainians will be able to exchange their stablecoin for fiat in any MoneyGram.

33 People Were Assist by Stellar and The IRC in December
The International Rescue Committee (IRC), an NGO established to assist people who are being persecuted for political, religious, or ethnic reasons, and Stellar have already assisted 33 of the 100 people they hope to assist before the end of the year.

One benefit of using Stellar Aid Assist to send money to those in need is the ability to track the entire sending process instantly, preventing any money theft or diversion and providing greater transparency to all donors.

The Stellar Aid Assist was chosen for testing by both organisations in Ukraine, according to Karolina Lindholm Billing, the UNHCR Representative to Ukraine, “so it can help many thousands more people in need of assistance as a result of the war.”

According to David Miliband, President and CEO of the International Rescue Committee (IRC), this collaboration with Stellar has given the IRC new opportunities to use blockchain technology to provide Ukrainians with “much-needed cash assistance.”

Stellar Development Foundation (SDF) CEO and Executive Director Denelle Dixon said the organisation was honoured to work with the IRC to pioneer the distribution of humanitarian aid through Stellar Aid Assist.

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