The global humanitarian landscape has grown increasingly intricate, with individuals in distress often receiving aid from multiple organisations. In the absence of shared information among these entities regarding who is providing assistance to whom and the nature of that support, individuals can inadvertently receive either too much or too little aid.

In response to these challenges, the United Nations has developed Building Blocks – a groundbreaking humanitarian application of blockchain technology on a global scale. Building Blocks is a privately managed blockchain network that connects various humanitarian organisations providing assistance.

Building Blocks has adapted blockchain technology for specific humanitarian needs, including complex programme designs. Humanitarian organisations assisting the same people can channel assistance to the same blockchain account, where it is coordinated.

Blockchain for good

Presenting the tool at the recent London Blockchain Conference, Houman Hadid (Head of Emerging Technologies at the United Nations) noted that Building Blocks facilitates collaboration among organisations, enhances coordination efforts, and optimised resource allocation, thereby enabling more efficient and widespread assistance to those in need.

It harnesses blockchain technology to cater to the unique requirements of humanitarian endeavours, including complex program designs. Organisations aiding the same beneficiaries can direct their assistance to a shared blockchain account, where it is effectively coordinated.

Through this common account, individuals in need gain access to a wide array of resources allocated by different organisations, ranging from cash and food to education and healthcare. This approach ensures equitable and coordinated collective assistance, simplifying and streamlining the process for individuals seeking support.

Building Blocks leverages the inherent qualities of blockchain, especially its neutrality. All organisations utilising the platform are equal stakeholders and administrators, devoid of any hierarchical structure. Furthermore, the network is versatile, allowing for the development of diverse humanitarian applications to address various needs.

Getting results in Jordan and Bangladesh

Building Blocks has extended its reach to support over one million refugees in both Jordan and Bangladesh. To date, the platform has efficiently processed $460 million in cash-based interventions for food on behalf of the World Food Programme (WFP), conducting approximately 20 million transactions while concurrently saving an impressive $3 million in bank fees.

In a significant development, UN Women became a part of the Building Blocks initiative in 2019. The programme played a vital role in facilitating the distribution of essential items such as UNICEF water, sanitation, and hygiene products, as well as UNFPA sexual and reproductive health supplies in Bangladesh.

These positive trends persist, with the Building Blocks network now counting 30 organisations actively engaged in aiding Ukraine, demonstrating the platform’s ongoing commitment to facilitating inter-organisational collaboration and maximising humanitarian impact.