The new non-profit initiative, launched by multi-asset trading platform eToro, plans to promote financial inclusion by offering “digital basic income” to its users.
Officially launched on 7 September, the GoodDollar initiative will leverage decentralized finance in order to provide its users with a form of universal basic income. The project will issue the G$ stablecoin, backed by a basket of crypto assets, which will be distributed to registered users on a daily basis.
In order to fund this model, the initiative will make use of the now-popular yield farming to supply newly-created G$ tokens to its users as a type of passive income. Individual and corporate supporters will be able to lock their funds on supported DeFi protocols, and later receive a large chunk of the yield. A daily amount will also be set aside, and distributed to the platform’s participants as a form of basic income.
The first confirmed protocol to be integrated with the GoodDollar platform will be Compound, while the first stablecoin to back the G$ token will be dai (DAI). The initiative noted that the plan is to diversify the collateral with time, as to have each G$ backed by a basket of cryptocurrencies.
According to its website, the platform so far has been used by 245 people, who have been able to claim more than 180,000 G$ tokens. In order to claim G$ tokens, users will have to register for a wallet through the GoodDollar platform, which for now is only available as a web app, though there are plans to make it available on the Apple App and Google Play Stores.