Using Fintech to Do Good Better

Fintech platforms are playing a key role in creating economic parity. Millions of unbanked and poor individuals now have access to financial products to improve their lives. Using fintech to advance the goals of effective altruism makes perfect sense. A good example is Netherlands-based Kinder, a “tech-for-good” startup.

Founded in 2016 by internet entrepreneur Mathys van Abbe, Kinder recently secured a second round of venture capital funding, bringing its total investment yield to €2.1 million as of September 2020. Mathys van Abbe is well-known entrepreneur. He launched the first mobile photo and video sharing service on Twitter in 2007. Abbe and his team of developers originally focused on developing an app like Tinder for charitable organizations. However, the original concept evolved into a knowledge platform, quality mark, and technology stack for charities.

Disrupting the World of Charitable Giving

In announcing the recent round of funding, Kinder’s founder said,

“We are here to disrupt the complex world of charitable giving. We want to restore trust in the charitable sector by making donating easier, more effective, and more rewarding, ultimately nudging charitable organizations towards improving their performance.”

Kinder wants to rebuild trust in charities. Scandals, a lack of transparency, and annoying donor recruitment strategies have turned off potential donors. Inspired by the effective altruism movement, Kinder began working with Duke University and Erasmus to create a platform that donors can use to identify charities who have been vetted and found to be addressing the most challenging issues facing the world today.

Doing Good Better

Summarized in his book, “Doing Good Better,” William MacAskill suggested that donors use their intellect and research skills to ensure that their contributions reach the most people and have the greatest impact on their lives. Kinder aspires to help potential donors do just this, by showcasing charities that are addressing neglected, large-scale, solvable problems with measurable results.

The startup vets the performance of charities, providing guidance to donors who want to become active partners in addressing the world’s problems. Its team of developers is working on designing smart, research-based donation tools that enable a seamless donation experience. The platform can also manage donor portfolios to “track money, identify important causes, and maximize impact.”

The Coronavirus Pandemic Changes Everything

The COVID-19 reality of today’s world has impacted the ability of organizations to reach their donor base. In-person fundraising events have been canceled and restrictions on travel make it impossible for donors to make on-site visits. Platforms such as “Kinder World” are impactful vehicles for charities to inform the public of the “needs of the world.”

Kinder is currently focused on those most affected by the disruption caused by the coronavirus pandemic. The startup partnered with Rabobank Charity Management’s COVID-19 Appeal this past summer. Philanthropists can donate to a general cause, rather than to an organization. Kinder’s vetting platform guarantees that the donation is passed on to the charity doing the greatest good, with measurable results.

Conclusion

Kinder’s suite of fintech apps is a perfect pairing to the vision and goals of effective altruism. With access to a reliable, research-based platform to guide our donations, we can trust that we will be able to “do good better.”