Revolutionary Blockchain-based Crowdfunding Platform
When the Ethereum blockchain network was introduced, technology bloggers and crypto hobbyists saw it as the ideal alternative to traditional crowdfunding platforms such as Kickstarter and GoFundMe. Despite the massive hype, Ethereum has not lived up to the initial expectations. Nevertheless, there is a new entrant that promises to revolutionize crowdfunding by leveraging blockchain technology. Read on to find more about WHIRL.
What Is WHIRL?
WHIRL is a blockchain driven crowdfunding platform that aims to solve the challenges experienced by the existing platforms. Essentially, the platform enables people to raise money to fund their life goals without lending from banks and other financiers, asking for donations from family and friends or having to ship rewards.
On the WHIRL platform, only users who have previously contributed to other campaigns are allowed to create their own crowdfunding drive. Moreover, the amount contributed by a particular user determines the speed at which their crowdfunding campaign is deployed, as well as the amount it can raise. This is overseen by an internal points systems known as karma.
How It Works
Although crowdfunding platforms have been growing at substantial rates, the overall success rates of individual campaigns have dropped massively. For instance, the success rate of drives conducted on Kickstarter has declined by 8%, falling from 44% to 36% in a span of a few years. The decline on GoFundMe is particularly alarming, with the current success rate being an appalling 10%. Fraud, unachievable targets, poor incentives, and reduced originality have all been blamed on this drastic decline. However, the topmost reason is the high number of campaigns that are impossible to keep a close eye on.
As opposed to the issue mentioned above, campaigns conducted on the WHIRL platform enjoy a 100% success rate. Besides the giving culture that is entrenched to members of the WHIRL ecosystem, there are other factors that contribute to this impeccability. These include control over the number of campaigns and a fair and transparent queue.
The WHIRL platform lists a few campaigns at any particular time, making it easier or users to identify the ones they which to contribute to. At launch, WHIRL will sit only one campaign. In due course, the number will increase, but at a controlled rate, to avoid adversely impacting on the success rate of these drives.
When a user creates a campaign on WHIRL it undergoes a probation phase during which a moderator checks if it is compliant with the regulations of the platform. If the moderator approves of the drive, it proceeds to the transparent queue where it competes with its contemporaries for listing. Usually, the factors assessed in the queue are the length of the period for which the campaign has been on the queue, and the karma points earned by the creator of the campaign. Nonetheless, each campaign on the queue is eventually launched.
The Blockchain Advantage
Additionally, WHIRL allows creators to back their campaigns using digital currencies. Currently, the platform supports a dozen cryptocurrencies, namely BTC, ETH, LTC, ETH, ADA, DASH, EOS, KICK, USDT, XML, XRO, and WRL. Other altcoins will be added on as time goes by.
WRL is the native cryptocurrency token of the WHIRL platform. Therefore, users who make donations in WRL earn bonus karma points. The platform is also working on adding support for fiat currencies. As of now, this feature is not available due to legal compliance issues.
Another advantage of the WHIRL platform over conventional crowdfunding services is its worldwide reach, an aspect that is facilitated by blockchain technology. Using WHIRL, anybody from anywhere across the globe can create or contribute to a campaign without inhibitions.
Remarkably, the WHIRL platforms incorporate a mechanism that enables accredited nonprofits to access a new means of raising capital. This is achieved by allocating dedicated campaign slots and a separate queue for such organizations. Also, the platform incentives large contribution by granting bonus karma points to individuals who back campaigns created by nonprofits. Lastly, nonprofits are exempted from paying platform fees and get financial support to start their operations.
Overall, WHIRL is an ambitious project that aims to transform the way people raise funds to finance their life goals. Still, the project is in its early stages, and there is much more to come.