How to distribute crypto tokens to Universities and other Organizations


Achieving main stream adoption with crypto currencies is difficult. Especially if you want to reach those people who need it most. Those who have no bank account yet. Without a bank account and paypal they can’t deposit fiat money on any online platform and no chance to exchange it to crypto tokens.

For this reason the Stellar Foundation ( decided last year to distribute crypto tokens to all keybase users for free. Keybase is a chat and file sharing tool which also comes with a crypto wallet.

Sadly this distribution plan had to be canceled soon, because as noted on “The Keybase giveaway program did not work, because of the many scammers creating accounts. This is a pity, because giveaways without having to go through KYC is a great way to onboard people without big hurdles.”

The Challenge

How can Stellar tokens be distributed to a big audience

  • without performing KYC
  • avoiding fake accounts

As suggested on distribution to university students with a university related email could be a way.

Let’s look on the general questions of finding suitable organizations which

  • provide a structure so we know behind that email is a real person
  • second which organization has members who need alternative payments most
  • nice to have: what use cases can be implemented, so the users get an immediate positive experience and not just to exchange the XLM they got to FIAT.

Distribution to University/Organization Members

Based on the email-format all emails should relate to a real person. Exceptions could be general contact addresses and admin accounts. But I would say it’s unlikely they are used in a wider range as scam addresses.

Benefits for enduser (students and employees):

  • receiving some XLM with real value
  • learning about crypto usage

Benefits for universities

  • educating students about crypto
  • for tech related projects there is a crypto environment available to be used
  • possible use cases could be implemented like: internal voting and payment

Benefits for the Stellar Foundation

  • more adoption international
  • expose Stellar technology to younger persons with possible impact later on
  • more awareness within scientific projects if Stellar is know around Universities

This questions apply to all organizations not just universities. There also could be a focus on certain countries where crypto is most needed.

Steps of Implementation

A distribution team take scare of all steps of implementation and decides about specific work flows. Also acts as a contact and support team.

  1. Analysis of University or organization. Decide on values like: size of members, country, technical aspects (have most students/members smart phones?), requirements on use cases, …
  2. Inform university about the distribution and check, if they want to support the project (maybe providing funds or setting requirements)
  3. Publish distribution and inform members on different marketing channels
  4. Propose use cases depending on country, region and technical standards and setup an organization specific program, if helpful.

Implementing Specific Use Cases

For a sustainable approach valuable use cases are essential. Main areas of use cases to be considered:

  • payment services, e.g. transferring money by using stable tokens between members and partner organizations
  • tokenization: creating tokens for organization purposes, e.g. voting
  • proof of existence: storing relevant organization documents as hash on the Stellar blockchain

Most long lasting effects will be reached if the organization supports the distribution and provides requirements for the use cases.

Sample Project Planned in Germany

I’m member of (NGO) and we established the “Stellar Workgroup” within the NGO. We currently plan to introduce a Stellar based NGO token for education purposes of 100+ members. I will report on the steps and feedback from the users. Check our public keybase team “blueorion” for updates.

Written by

We provide smart contracts and blockchain services on the Stellar Network.

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