https://ift.tt/3tJqpYz donations in Tonga- The Cryptonomist

After the devastation caused by the tsunami, humanitarian aid is starting to arrive in Tonga.  One of the various initiatives underway is allowing Bitcoin donations to be made through Lightning Network. 

How Bitcoin donations take place in Tonga

The initiative was launched by Lord Fusitu’a, a former member of parliament in Tonga and a well-known bitcoiner. 

A Bitcoin address and LN node has been made available to allow BTC to be donated to initiatives related to reconstruction in the Tonga archipelago. 

A special group has also been created on Telegram called Liquidity for Tonga. 

So far, the given address has received more than three hundred transactions, totaling about 0.477 BTC (about $20,000). 

However, it is not known how these funds will be spent, and to whom they will eventually be allocated. For now, it is only known that the collection is being done by former Tongan Member of Parliament Lord Fusitu’a. 

Tornado devastation

The explosion of a volcano on a desert island 65 kilometers from the capital produced a tsunami that did extensive damage throughout the archipelago of Tonga. 

So far, only three deaths have been counted that were directly caused by the volcano explosion or tsunami, but the material devastation is considerable, starting with the fact that the archipelago was isolated for several days. 

Bitcoin legal currency? 

It is worth mentioning that in addition to donations in BTC, a page on givealittle has also been activated to allow donations in fiat currency, but for now it has raised less than a thousand dollars. 

The fact is that by donating through LN practically the entire amount spent reaches the recipients, since the transaction costs are negligible. Moreover, it’s possible that those who hold BTC, especially if in large quantities, in this case are more likely to donate, since in Tonga there have been serious discussions about making Bitcoin legal tender for some time. 

The national currency of the Kingdom of Tonga is the Tongan Paʻanga (TOP), issued by the National Reserve Bank of Tonga, and its value is tied to a basket of foreign currencies that includes Australian, New Zealand and US dollars, and Japanese yen. This means that its value is actually pegged to that of stable currencies, so much so that for years now it has only fluctuated between $0.42 and $0.44. 

Should Bitcoin donations prove to be crucial, it is possible that the process for its adoption as a legal tender currency could speed up.