Ending Extreme Poverty With The Anti-Poverty Version of the Dollar - Jeff Milewski and Jasper Driessens // Co-founders of Glo

Disruptors for GOOD | Social Entrepreneurs and Social Enterprises

In Episode 160 of the Disruptors for Good podcast, we speak with Jeff Milewski and Jasper Driessens, Co-founders of Global Income Coin(Glo), on using blockchain to end extreme poverty through a fully backed stablecoin.

Glo is a nonprofit that thinks and operates like a startup.

Glo has raised a $2 million seed donation from a personal donation by Sid Sijbrandij (co-founder and CEO of GitLab Inc.). Their operational costs and employee salaries run on philanthropic donations.

With Glo, you can make a powerful impact on ending extreme poverty.

Simply by owning money in the form of Glo, you generate new money which then goes to people living in extreme poverty.

The US dollar-pegged stablecoin not only gives back to those in need but also allows you to put your money where it matters most: directly into the hands of impoverished people around the world.

How it works:

• You send us $1000.
• In return, we create 1000 Glo and send it to you.
• Glo is a cryptocurrency, so we send the 1000 Glo on the blockchain and you receive it in your crypto wallet. We don't like crypto for the sake of crypto—it's just the only viable way to create a new currency.
• We put your $1000 in the Glo reserve. Keeping it there is how we make sure your 1000 Glo stays worth $1000. Every Glo that exists is backed by one US dollar in the Glo reserve.
• You can always convert your Glo back to regular US dollars if you need the money, so you're not losing any money in the process.
• So how does Glo generate basic income? The trick is that we don't literally keep your $1000 sitting in a bank account. We invest a part of it in 3-month T-bills, a type of US government bond.
• 3-month T-bills are about the least risky investment you can think of. For that reason, they are often categorized as "cash or cash equivalents".
• Still, they generate a small interest. This varies, but our rough assumption is that the Glo reserve will return about 2.5% per year on average. That means every $1000 in the Glo reserve generates $25 per year of profit.
• We give 100% of this profit away as basic income to people living in extreme poverty.
• Each recipient gets $1 a day, which is often enough to lift them above the extreme poverty line.