Garbage collectors in Africa earn crypto to support families with ReFi – Cointelegraph Magazine

“We are cleaning up the area, because without us the city would be very dirty,” said Jane Mago, a waste picker from Dar es Salaam, Tanzania. Her words highlight the environmental challenges facing much of Africa, from polluted oceans and the dangers of plastic bottles to poorly managed waste. These issues are not just local but reflect a larger, global crisis.

In a world where climate change and the damage of pollution are constantly happening, cleaning up the planet is not an option, it is our responsibility to ourselves and future generations.

But what if taking care of the planet not only felt good or was the right thing to do, but also had the potential to support yourself and your family?

In response to this, innovative projects are emerging on the African continent, combining blockchain technology and renewable finance (ReFi) to promote environmental regeneration as a profitable activity.

Plastic pollution along the Kenyan coast poses a serious threat to marine ecosystems and the lives of coastal communities. Similarly, rivers and lakes in Tanzania are choked with plastic waste, industrial effluents and agricultural runoff, exacerbating water scarcity and threatening biodiversity.

First-rate projects like AquaPurge in Kenya and Chatafish in Tanzania are addressing these environmental issues and empowering everyday people to earn an income.

AquaPurge: Kenya's blockchain-powered beach cleanup

Aquapurge, led by founder Ibrahim Aziz, is tackling Kenya's ocean pollution problem with crypto. It promotes community-driven cleanup efforts through the PURGE Token ecosystem.

Individuals who participate in beach and ocean cleanups earn rewards that can be exchanged for cash or used in eco-friendly markets.

“This project is more than just cleaning beaches,” shared Aziz. It is to provide a platform for the community to contribute to the environment while generating a stable income.

Real results: 5400 kg of waste removed with crypto incentives

The main application of the project has just been launched. This concept was tested in October 2023, during the Mvureni Beach Cleanup in Diani, where participants, including members of the DYBC (Diani Youth Beach Community), were awarded in the USDC for their efforts. A total of 23 clean-up events were held, including an ocean clean-up in Kilifi that collected more than 5,400 kilograms of trash.

Organizations such as DYBC, Baha Madzo CBO, and Wasini Waste will receive an Impact Report (VIR) to demonstrate measurable cleanup results, secure funding, and expand their efforts to create clean, sustainable beaches.

The Aquapurge initiative has a wider impact on coastal communities by involving local fishermen, small business owners and other community members in regular clean-up activities. These cleanups include removing plastic waste, discarded and rotting fishing gear and other pollutants from beaches and waterways. The idea behind engaging the community is to create a tangible sense of shared responsibility for the environment.

Thus, improved marine ecosystems benefit the livelihoods of those who rely on fishing by increasing fish populations, reducing damage to fishing gear, and ensuring healthy waters.

Chatfish: Meet Tanzanian garbage collectors who earn crypto to support their families

Founded by David Machuche in Tanzania, Chatafishha prevents water pollution by turning it into value. Using blockchain technology, Chatafish has created a circular economy that promotes waste collection and recycling.

Chattafish thrive in Dar es Salaam, where water pollution is a major concern. The project focuses on cleaning up the Msimbazi River and other water sources and encouraging local waste pickers to collect plastic waste. By recycling the collected waste, it generates income that goes back into the community. Chatfisha tracks the garbage collection process on the blockchain, and rewards participants with tokens, ensuring the transparency of its overall operation.

The story of Mago

Jane Mago, 35, from Dar es Salaam, Tanzania, joined Chatafish six months ago. Armed with minimal resources, Mago began collecting plastic waste from the Missimbazi River. Chattafisha rewards her with a stablecoin-backed token that she converts into local currency for every kilogram of trash she collects. One in five people in the region is unemployed, making it difficult to find work.

Analyzing her daily income, Machuche said Mago's monthly income has increased by 50% and has allowed her to improve her standard of living, “even though she had been struggling for years with her previous recyclers.”

Mago says she is finally earning enough to get by.

“Chattafisha has helped me earn a living and pay my children's school fees,” says Mago. “I never thought that picking up trash could actually feed me.”

Other employees shared similar stories in a video about Chatafisha's partnership with Dirty Token.

Joy Kileni from Dar es Salaam also takes plastic bottles for work.

“You can turn up at someone's door to pick up trash and some people think they are thieves or drug addicts. But when they saw that I had my baby, they were ready to help me pick up their plastic waste.

Chatfisha has created opportunities for youth in Dar es Salaam, providing training programs that teach them how to collect and recycle waste.

The Reagan Foundation, an organization that works with communities to create systems that reward ecological restoration, posted in early December:

“In our latest pilot, @Chatafisha Dao puts waste collectors in TZ at the forefront of their environmental impact stories. Using decentralized technology and community governance, they validate each other's work, monitor their data and reward their contributions,” he says.

In the year In the 2022 Informal Sector Survey, Teme Municipal Administration has the highest unemployment rate in Dar es Salaam at 19.8%, followed by Kigamboni (17.8%) and Kinondoni (17.0%). Dar es Salaam youth are more than six times more likely to be unemployed (13%) than their rural counterparts (2%), highlighting the disparity between urban and rural job opportunities.

Projects like Chatafisha are providing youth with the tools and knowledge to turn waste into wealth, creating economic opportunity for otherwise unemployed youth.

Overcoming Barriers: Scaling Up Blockchain Environmental Projects in Africa.

While these initiatives have been successful, they face challenges including limited awareness of blockchain technology in Africa and the initial costs of infrastructure development. Both AquaPurge and Chattafish are actively working with NGOs, corporate sponsors and local governments to address these barriers.

Building trust in blockchain technology, particularly among underserved communities, remains a key challenge. However, success stories like Jane Mago show that people are more likely to adopt the technology once they see the tangible benefits.

Both projects are working to expand their impact by reaching out to new communities and expanding their work to other parts of Africa. This expansion requires continued funding, technical assistance and community engagement, all of which are critical to the long-term sustainability of the projects.

How smart contracts and tokens are changing environmental cleanup.

Both of these projects use blockchain technology to track the clearing process and reward participants.

Ibrahim Aziz says blockchain ensures transparency and trust in aquapurge cleanup efforts and token distributions.

“Every kilogram of waste collected is recorded and verified on the ledger, making it easy to reward contributors and attract partners looking for verifiable impact.”

Also Read: South Africa's Digital-Nomads Crypto Hub: Cape Town, Crypto City Guide

Part of the idea is to create incentives for environmental action and get foreign companies to help finance it. The community can track how much plastic has been removed from the environment using blockchain-powered reports.

In addition to paying people to clean up areas, AquaPurge uses a report-to-find model where community members report pollution spots and enter them into the system. The project generates revenue from the sale of recyclable plastics and recognized plastic credits, ensuring long-term sustainability.

Selling certificates to companies

David Machuche emphasized the role of blockchain in streamlining Chatfish operations. “Blockchain allows us to demonstrate impact in a transparent and scalable way.

Using blockchain-based monitoring, reporting and verification (MRV) tools, Chatafish ensures that every action is recorded and rewarded fairly, says David Machuche. “The data we collect from waste pickers is converted into impact certificates that are sold to corporations that meet ESG goals. This generates revenue that goes back into the community,” he says.

Chattafish has attracted partnerships with local and multinational companies focused on reducing their carbon footprint by investing in waste reduction and recycling efforts. In particular, Chattafish has partnered with leading recycling company Prio to improve its waste disposal processes. In addition, in cooperation with the Reagan network to open their impact and peer verification system of ecological credits – this innovative method allows to pre-finance resources until the day when environmental protection “borrows” and becomes ecological “debt” in the future. has been paid. This is an important step in promoting sustainable practices.

Smart contracts allow automatic distribution of rewards and ensure that agreed terms are met by all participants. This transparency has enabled the project to gain the trust of corporate sponsors, local governments and waste collectors, including Jukumu NGO, 6regionTz NGO, Mebezi Beach and Mburahati in Dar es Salaam and Lite Token. It has partnered with the University of Dar es Salaam to offset 5 tons of certified waste.

The role of blockchain in restructuring finance

Blockchain plays an important role in these projects, providing transparency, accountability and scalability. Key applications include:

Tokenized incentives

Both Aquapurge and Chatafisha offer token-based rewards that incentivize participation in local renovations. Tokens can be exchanged for cash, redeemed for additional rewards, or redeemed at eco-friendly marketplaces.

Decentralized administration

Organizations like AquaPurge and ChatFish allow community members and tokens to fund decisions through a decentralized autonomous organization (DAO) structure. This ensures that local priorities are met while maintaining transparency. By allowing stakeholders to make decisions about how funds are allocated, blockchain creates a system in which the community has agency over environmental efforts.

A verifiable effect

Blockchain enables the creation of Verifiable Impact Reports (VIRs), where stakeholders can track and verify the progress of cleanup efforts. This builds trust between investors, companies and local communities.

Financial inclusion

Blockchain can also help increase financial inclusion by providing access to digital currencies and stablecoins for people without traditional bank accounts.

I was like Nejenga.

Ndabari Njenga is a blockchain and AI writer with a focus on technology, finance and sustainable development in Africa. He has written for leading publications on topics such as DeFi, digital identity and asset tokenization, showcasing innovative solutions that are making a real impact in Africa.