What Is STEMchain?
STEMchain is a crypto-platform based on the Stellar Network, which seeks to improve the speed and transparency of Science, Technology, Engineering, and Math (STEM) donations. The platform is also responsible for the development and operation of the Crypto STEM Initiative (CSI). CSI’s main role is the facilitation of worldwide funding for STEM organizations that have a proven record of accomplishment of productivity and efficiency.
The current system of funding STEM projects is highly decentralized and inefficient and in most cases, donors are faced with the difficult task of having to identify on their own STEM organizations that are productive and effective.
After the STEM organizations, receive the donations there is little or no transparency on how the funds are used or whether they are used for the intended purpose. STEMChain will offer a solution to these shortcomings through its ecosystem.
How STEMchain Crypto STEM Initiative & Blockchain Donations Works
Funding for STEM projects is through the STEM coin. Donors/Funders can acquire the coins during the ICO or on Stellar’s Decentralized Exchange (SDEX). After purchasing of the STEM coins, donors can then donate the coin directly to an initiative.
STEMChain then matches the donation to a suitable organization. In order to identify STEM organizations that are viable to receive donation, it vets the organization based on how efficient it spent money on previous missions. Selected organizations have to sign a binding contract that contains the CSI 100% Guarantee. This ensures that they spend all the funds received on the intended cause.
Once the organization receives the donation, they will have to provide audited financial statements that illustrate the usage of the STEM coins. The organization can convert the STEM coins to fiat on cryptocurrency exchanges and use the proceeds to purchase products or services for the organization’s purpose.
They can also purchase products and services directly using the coins from vendors that accept STEM coins as a payment method. Therefore, Donors can track the movement of their STEM coin donations to the point of purchase and thus confirm that the donations use is consistent with the organizations use.
STEMchain Future Developments
Plans are under to develop a vendor support for the STEMchain ecosystem Marketplace where the STEM organizations can directly purchase products using the STEM coins and exchange in built into the platform. There will also be a Docker for STEM partners to integrate their own type of a front-end of STEMchain ecosystem.
The platform provides visibility into how donations are spent. This is through the CSI guarantee that requires that them to provide records on how they spend the transaction. The organizations will also make purchases using the STEM coins, which enables donors, monitor if the purchases made are relevant to the organization’s objective.
Through the donation-matching algorithm, the platform can monitor the blockchain for the STEM organizations, which match STEM coins and ensure that manipulation of the CSI does not take place.