When I assumed the position of President & CEO of the Glenrose Hospital Foundation amidst the COVID-19 pandemic, I recognized the increased difficulties faced by charities. The economic uncertainty had caused many donors to hesitate in maintaining their pre-pandemic level of charitable support. Like numerous other organizations, we embarked on a journey to explore avenues for engaging new donors and inspiring support for the vital work undertaken at the Glenrose Hospital.
The journey led us towards the potential use of Bitcoin and other cryptocurrencies (crypto) as a philanthropic tool. Beyond the obvious new revenue stream potential, why would a health foundation like ours venture into the nascent and emerging world of cryptography and digital currencies? After much internal discussion, the answer became increasingly clear. As a philanthropic foundation, we are entrusted with funding cutting-edge technologies that advance the care for some of the most complex rehabilitative challenges our patients face. Our community’s monetary support enables us to fund novel and emerging health technologies, which require testing, trials, and validation. While not every technology pans out as anticipated, it’s through the discovery process that new ideas propagate. Over time, these innovations help set new standards of care which help improve patients’ overall quality of life.
We view cryptocurrencies in a similar vein. They represent a proposed technological advancement in money. And while most of them will falter, it is through the innovation process that a new form of money may emerge to the benefit of society. As a innovation focused hospital and foundation, we felt obliged to explore the area further.
Before we brought this to our stakeholders, our team needed to dive in and clearly understand this new world.
What is Bitcoin?
Bitcoin was the first-ever cryptocurrency—the one that set the stage for all the others that followed. Bitcoin was created to solve various issues in traditional financial systems, including centralization and control, by establishing a decentralized currency not governed by any central authority. It addresses trust and security concerns through cryptographic techniques and a transparent ledger. Bitcoin also seeks to tackle the problems of inflation and currency devaluation with its limited supply, promotes financial inclusion by providing access to financial services for the unbanked, and aims to lower transaction fees by eliminating intermediaries. Overall, Bitcoin aims to revolutionize the financial landscape by offering a decentralized, secure, accessible, and cost-effective form of digital currency.
To truly understand Bitcoin, and the emergence of other cryptocurrencies, it’s imperative to first ask, “what is money”? The question seems obvious on the surface, but as you dig deeper, it becomes a more complicated story. Most people wouldn’t describe it this way, but money is actually a remarkable technological innovation that has evolved over centuries to facilitate efficient exchange of value. It transcends the realm of physical objects and exists as a conceptual system that enables trade and commerce. From the early forms of barter to the emergence of fiat (government mandated) currencies, money has undergone continuous transformation driven by human ingenuity and societal needs. It serves as a medium of exchange, a unit of account, and a store of value, providing the foundation for economic transactions and financial systems. This technological innovation has revolutionized the way societies operate, facilitating economic growth, wealth creation, and the advancement of civilizations. Bitcoin is just the most recent monetary innovation—and may well be the most revolutionary innovation of our time.
Perception Vs. Reality: Risks Vs. Rewards
As part of our due diligence process, we carefully assessed the risks and rewards associated with entering the crypto arena. The potential rewards offered us the opportunity to tap into a new donor base, including tech-savvy individuals and cryptocurrency enthusiasts who are passionate about supporting charitable causes. Accepting cryptocurrencies can also provide a level of transparency and traceability in donations, thanks to the public nature of blockchain technology. Furthermore, cryptocurrencies can facilitate international donations, eliminating the need for currency conversions and enabling seamless cross-border transactions.
When I assumed the position of President & CEO of the Glenrose Hospital Foundation amidst the COVID-19 pandemic, I recognized the increased difficulties faced by charities. The economic uncertainty had caused many donors to hesitate in maintaining their pre-pandemic level of charitable support. Like numerous other organizations, we embarked on a journey to explore avenues for engaging new donors and inspiring support for the vital work undertaken at the Glenrose Hospital.
– Mark Korthuis
The risks were primarily a function of perception issues. In response to the perception issues surrounding cryptocurrencies, it was important for us to understand and to address them with factual information and a broader perspective. Firstly, while cryptocurrencies have been associated with illicit activities, it is crucial to note that traditional fiat currencies are also used for such purposes. Cryptocurrencies, on the other hand, provide a transparent and traceable ledger that can better help combat financial crimes more effectively. Secondly, although cryptocurrency prices can be volatile, this is often due to market speculation and is not indicative of the technology’s underlying value or potential. The decentralized nature of cryptocurrencies offers individuals greater control over their own financial assets, reducing reliance on centralized institutions that may be subject to economic instability or manipulation. Lastly, while regulatory frameworks are necessary to protect consumers and investors, excessive regulations can stifle innovation and hinder the potential benefits of cryptocurrencies. Striking a balance between regulation and innovation can create a more inclusive and resilient financial system that embraces the advancements and possibilities presented by cryptocurrencies.
February 2022 to Present (What we actually did)
In February 2022, the Glenrose Hospital Foundation took a bold step by partnering with the Giving Block to accept cryptocurrencies as donations, becoming the first hospital foundation in Alberta to do so. The response exceeded our expectations, garnering significant media attention and inspiring other charities across the province to follow suit. We become fast friends with the Canadian Blockchain Consortium, and our involvement as the charity of choice at their Alberta Technology Symposium in Calgary further solidified our presence in the blockchain and crypto community, resulting in substantial crypto donations. Notably, the support from influential leaders and the creation of a virtual hospital in the Decentraland metaverse showcased our technological advancements to a global audience. Additionally, a Glenrose patient’s creation and sale of NFTs using our brain-computer interface technology demonstrated the transformative potential of our work. The commitment of $100,000 from the Canadian Blockchain Consortium to our Brain Computer Interface program in January of the following year further reinforced our mission. The overwhelmingly positive response, increased media impressions, heightened public awareness, and elevated donations have solidified the importance of our work at the Glenrose Hospital.
Interestingly, I can also claim to be one of the only people to have received a bitcoin donation, through my phone, from a Canadian premier! (I’ll let you try to guess who 😊).
Looking Ahead
As a healthcare foundation, we recognize the significance of embracing new technologies. Accepting cryptocurrencies signifies our dedication to finding innovative ways to serve our community. We take pride in being one of the initial charities in Canada to accept cryptocurrencies, and I hope that others will follow suit. I want to express my heartfelt gratitude to all those who have generously donated using cryptocurrencies. Your contributions have enabled us to continue making a positive impact on patients and their families. By embracing cryptocurrencies, we have opened a new avenue for individuals and businesses to support our mission. We firmly believe that by accepting cryptocurrencies, we are reaching a new demographic of donors who are passionate about our cause.
The Glenrose Hospital is an invaluable asset to our city, province, and country, and we will tirelessly work towards its continued success and distinction–leaving no stone (or ‘block’) unturned.
