MIAMI GARDENS, FL – FEBRUARY 1: Cardi B performs at the 2020 Vewtopia Music Festival – Day 2 in Miami … [+]
The Cash app, your rapper’s favorite smartphone-based payment and money transfer service, owned by Square, is disrupting the charity industry. Freebies have always been in the DNA of Cash App. According to the Genius music database, around 200 hip-hop artists have checked the platform by name in their lyrics. Cultural attunement, coupled with the spirit of giving, helped the Cash app disrupt the $ 450 billion charity sector reported by the Giving USA Foundation.
The Breakdown You Need To Know:
CultureBanx found that apps like Venmo, Cash App, and Cell eliminate all friction and boomed during the pandemic. At a time when 40% of Americans are struggling with a surprising $ 400 cost, Cash App has reached out to users directly through its weekly giveaway called Cash App Friday, which digitally distributes cash to some users who use it request. Trapital noted that Cardi B and Megan Thee Stallion gave 2,000 random tweeters $ 500 each through the app this January for a total of $ 1 million. In 2019, Cash App gave away $ 60,000 to its namesake on Friday.
Rappers have been using the fin-tech platform to connect with fans for some time. So it’s easy to see how hip-hop influencers and their loyal followers increased Cash App’s monthly active users from seven million in 2017 to 30 million in 2020.
Culture, Cash App & Charity::
Many people believe that making a donation to individual Cash App users is beyond making a donation to a nonprofit organization. Often times, according to OneZero, direct donors say urgency motivates them. There may be good reason to believe this line of thought, because ProPublica noted that the American Red Cross raised $ 500 million to rebuild Haiti after the 2010 earthquake, but had only built six permanent homes. The Red Cross denies this, claiming it had a significant impact in Haiti. Reasons like this have led to a surge in payment app downloads, which rose 94% between March and October, according to AppTopia.
OneZero reported that Detroit millionaire Bill Pulte claims he used the Cash app to send more than $ 834,000 to his followers in viral giveaways. This charitable social media approach is badly needed, but it also points to the deep holes in the American social safety net. Online donations grow six times faster, over 9% per year, than offline donations.
Digital handouts on social media that help people cope with their daily lives indicate the power and generosity of online communities. However, it is important to note that fraudsters have also proliferated. Any tweet mentioning donations from Venmo or Cash App leads to a deluge of suspicious direct messages. In October, the New York Times NYT reported that ratings mentioning the words “scam” or “scam” had skyrocketed this year for several payment apps, including Venmo, Cash App and PayPal PYPL.