This study addresses a critical need in the non-profit sector: a secure and transparent system for tracking and managing donations. In a world where trust is paramount, particularly for donors contributing to humanitarian causes, the absence of reliable and immutable donation tracking tools undermines confidence. This lack of transparency affects the efficiency and credibility of non-governmental organizations, potentially reducing their ability to gather and effectively distribute resources.
Our study focuses on leveraging blockchain technology to develop a platform that ensures donors can securely record and track their contributions while providing NGOs with tools to manage and audit campaigns. By addressing existing inefficiencies and enhancing transparency, this work aims to enhance donor trust and redefine how resources are managed in the charitable domain.
Currently, donation tracking in Portugal and many other regions relies on centralized systems with limited transparency and security. These systems often use generic management software that does not align with the unique needs of NGOs, such as real-time donation tracking or privacy-focused donor data handling. Transparency remains a public concern, as demonstrated by surveys highlighting widespread distrust in charitable organizations. Most existing solutions fail to bridge the gap between donor expectations and organizational practices, with data prone to tampering and inefficiencies in reporting.
Blockchain technology, particularly private and permissioned frameworks like Hyperledger Fabric, has emerged as a solution to these challenges. This approach provides decentralized, immutable data management, ensuring that records are secure, auditable, and verifiable by all stakeholders. Despite its potential, blockchain adoption for donation management is in its infancy.
The study employs a combination of technologies to achieve its goals. At the core is Hyperledger Fabric, a private and permissioned blockchain platform tailored for high scalability and robust security. This framework enables NGOs and donors to operate within a decentralized yet controlled environment, ensuring data confidentiality and integrity.
Additionally, InterPlanetary File System (IPFS) is integrated for decentralized file storage, allowing donors to upload and securely share images of donated items without burdening the blockchain with large data payloads. Together, these technologies form a comprehensive ecosystem designed to meet the study’s ambitious transparency and usability goals.
Study Details
The primary objective of this study is to create a solution for recording and managing donations securely and transparently. Key goals include:
- Developing a platform for immutable and auditable donation records.
- Ensuring real-time tracking and confirmation of donations through blockchain technology.
- Providing NGOs with interactive reporting tools to analyze donation data and demographics while safeguarding donor anonymity.
- Enhancing donor confidence by enabling verifiable proof of donation delivery.
By leveraging Hyperledger Fabric, all donation transactions are stored in an immutable format, safeguarding data integrity and enabling comprehensive auditability. Cryptographic techniques further ensure the privacy of sensitive information while providing secure access for all stakeholders involved.
Real-time donation tracking allows donors to register their contributions instantaneously. The process is verified through QR codes scanned by NGOs, improving operational efficiency and offering immediate confirmation to donors. This feature fosters trust and reduces ambiguities in the donation lifecycle.
The user experience is elevated through a mobile application that simplifies interactions. Donors can effortlessly manage their contributions, review past activities, and track their impact, creating a seamless and engaging interface. For NGOs, interactive dashboards provide valuable insights into campaign performance and donor demographics. These reporting tools ensure data confidentiality while delivering actionable information that supports strategic planning and outreach efforts.
Additionally, the platform accommodates the integration of new NGOs and the inclusion of diverse donation types, such as financial contributions or cryptocurrencies. Future enhancements like geolocation-enabled campaign searches are also supported, extending the platform’s functionality and appeal.
The team implemented secure cryptographic channels and anonymized reporting mechanisms to meet privacy requirements without compromising transparency. Managing the diverse nature of donation types also presented complexities, which were overcome by adopting a modular system design. This approach allowed for flexible categorization and streamlined the addition of new donation types as needed.
This study underscores the potential of blockchain technology in addressing transparency and trust issues within the non-profit sector. The integration of Hyperledger Fabric, alongside advanced mobile and data visualization tools, creates a scalable, secure, and user-friendly solution for donation management. While the prototype has achieved its intended goals, opportunities for further enhancement remain, such as extending functionalities to other donation types and improving accessibility features.
