Showing swift reaction to a human crisis, Binance, a well-known cryptocurrency exchange, announced a supportive measure for the residents of Marrakesh-Safi province in Morocco, affected by the September 8 earthquake. In a demonstration of their commitment to social responsibility, they pledge to airdrop $3 million worth of their self-issued BNB tokens.
It’s interesting to note that the amount users will receive varies depending on the timing of their address verification. Those who had already established their presence in the region by validating their home addresses before September 9th are set to acquire a greater portion of this airdrop, a $100 in BNB token value. In contrast, those who complete the verification step after this date are entitled to a smaller amount, $25 worth of BNB.
This somewhat controversial strategy may spur discussion on the fairness and effectiveness of such relief efforts. On the one hand, the early bird principle rewards loyal users who have seemingly trusted and engaged with the platform for a longer period. Meanwhile, the reduced share for late verifications raises questions about a potential deterrent effect for future verification and engagement.
The total number of people expected to benefit from the generous rescue mission is approximately 70,000. The funds distribution process will reportedly start immediately with Binance dedicated to ensuring the quick arrival of the funds in users’ accounts. This quick action is laudable and would undoubtedly be helpful to earthquake victims.
However, despite the practical help, using a volatile asset like BNB, currently trading around the $209 mark, might be seen as a double-edged sword. Should the value of the BNB token suddenly fall, would the aid amount remain fulfilling its promise of relief? Naturally, that brings up the necessity to discuss potential protective measures against the capricious nature of crypto markets.
As such, the move by Binance is both a heartening gesture of support and a thought-provoking action, stimulating conversations on the role of cryptocurrencies in disaster relief. As the situation unfolds, the world of crypto also awaits how the markets will respond, with the value of BNB remaining nearly unchanged in the last 24 hours. Edited by Sheldon Reback.
Source: Coindesk
