Coinbase Funds $12,000 Crypto Distribution to 160 Young New Yorkers
A new guaranteed-income experiment in New York, backed by Coinbase, provides $12,000 in cryptocurrency to selected young adults.
- Program Details: Known as Future First, the initiative distributes funds to 160 residents aged 18-30. Payments are made in USDC, a stablecoin linked to the U.S. dollar, via Coinbase wallets.
- Administration: The nonprofit GiveDirectly administers the program, offering an initial $8,000 followed by five $800 payments. This format aims to support substantial financial decisions like security deposits or tuition fees.
- Funding Source: Coinbase redirected $2.6 million from a previous direct-giving project to finance this initiative.
- Benefits & Risks: Sending USDC is cost-effective but carries risks such as potential market volatility affecting the stablecoin's value. Participants have options to cash out or invest further using Coinbase services.
- Feedback & Analysis: Program leaders will survey recipients to assess the impact of crypto distribution on their financial opportunities and challenges.
The experiment aims to provide financial aid and educate young New Yorkers about cryptocurrency usage.